New York manufacturing index slips

Manufacturing activity declined in New York in May for the first time in four months, the Federal Reserve Bank of New York said Wednesday. After three months of improvements, the bank's monthly business index dropped four points to minus 1.4. The new-orders index, also "edged into negative territory," dropping three points to minus 1.2, the Fed said. The index for shipments was little changed, but slid to zero. In the monthly survey, 25 percent of respondents indicated that business conditions had improved in the past month, while 26 percent indicated they had grown worse. Optimism also dropped. An index measuring economic expectations for six months down the road fell six points to 25.5, falling for the second consecutive month. Expectations for new orders dropped seven points to 28.8, while expectations on future shipments lost 14 points to reach 25.2, the Fed said.