Global supply-chain pressure eases in October
The New York Fed index declines, but stays above its historical average.
Global supply-chain pressure eased in October, according to the New York Fed's latest monthly data. Its index fell to 1.26 from a revised 1.36 in September.
The decline points to less pressure than a month earlier, not a return to the historical average. The index is measured in standard deviations from that average: zero is average, while positive readings indicate greater pressure.
The revision matters when comparing the two months. September was previously reported at 1.28; the latest data raise it to 1.36. Comparing October only with the old September figure would understate the monthly decline.
The measure combines global transportation costs and manufacturing supply-chain indicators. It is not a consumer-price inflation rate, and a lower reading does not mean household prices fell.
The release adds a separate view of costs on a morning when U.S. productivity and labor-cost data also showed a quarterly easing in unit labor costs. The reports cover different periods and different parts of the economy; neither alone determines the inflation outlook.
