New York Fed says supply chain pressures rose last month relative to August
SPY•The New York Fed’s Global Supply Chain Pressure Index rose to 1.28 in September from an upwardly revised 1.20 in August. It remained below its May peak of 1.81 and the December 2021 reading of 4.43.
1. September index rose
The New York Fed said its Global Supply Chain Pressure Index increased to 1.28 in September from an upwardly revised 1.20 in August. The release did not say what drove the increase.
2. Below prior peaks
The index remained below its most recent peak of 1.81 in May and the 4.43 reading in December 2021, which captured widespread disruptions caused by the COVID-19 pandemic. Elevated supply chain pressures can contribute to inflation pressures. Fed officials raised their interest rate target last month and penciled in another increase for year end as part of a bid to bring elevated price pressures back to the 2% target.
