Wall Street got two fairly grim manufacturing reports Monday morning that seem to indicate that the U.S. financial and industrial sectors will continue to remain impaired by the credit crisis at least for the foreseeable future.

The New York Fed Manufacturing Index

The New York Federal Reserve Manufacturing Index, a survey tracking industrial activity in New York state, fell by 0.8 points to a reading of -25.43 in November -- the lowest level the gauge has reached since the survey began seven years ago.

The biggest hit to the NY Fed index came in the employment index, which fell from a reading of -3.66 in October to a reading of -28.92.

November new orders for the region fell from a reading of -20.45 in October to a reading of -22.21 in November. 

In one point that helped solidify the government's argument that the credit crisis affects both Main Street and Wall Street, 38% of businesses reported they experienced tightening in credit availability over the last three months, up from 25% in the month prior.

The New York Fed index is one of three regional Federal Reserve indices that try to gauge industrial and manufacturing activity in geographical regions. The New York survey is often paired with the Chicago Fed survey and the Philadelphia Fed survey to get a bigger idea of where manufacturing activity is trending. A reading of less than zero in any of the surveys indicate manufacturing activity in that area contracted from the month before.

Industrial Production and Capacity Utilization

While production in the nation’s industries, mines and utility companies recovered somewhat in October, overall industrial production remain quite impaired.

The Federal Reserve said Monday that October industrial production increased by 1.3% compared to the month before -- as mining, utilities and industry got back to work after Hurricanes Gustav and Ike. 

In September, industrial production fell by 3.7% -- the most since World War II -- after the Boeing (BA) strike and hurricanes, combined with the sluggish economy, impaired the nation’s industrial sector during the month.

The rise in October industrial production was much more than the 0.2% rise that economists were expecting, according to data provided by Thomson Reuters. However, industrial production is down 4.1% from 12 months ago.

Capacity utilization, or the percentage of the nation’s physical currently functioning, increased to 76.4% in October, up from 75.5% in September, as oil platforms and other resources were brought back online after the hurricanes.

Capacity utilization traditionally averages around the 81% range between 1972 and 2007.