Fed Measurement Of Manufacturing Activity Down Substantially

In a sign of a major shift in the domestic supply chain, manufacturing activity has sustained a serious drop since the start of the year that has now turned into negative territory according to the Richmond Federal Reserve Bank.

As shown by the chart, activity regularly goes up or down month by month and often sustains positive or negative growth within an economic cycle. That said, taken as a whole with an expanding job market and serious other concerns over pullback in capital investment, softening job market, and Fed credit tightening news of retracting manufacturing activity is something we will continue to track as a negative pattern in an emerging bear market economy.