The new orders index declined six points to 2.2, and the shipments index fell a steep nineteen points to 4.8.

Price indexes were markedly lower, with the prices paid index falling eighteen points to 19.6 and the prices received index dropping eleven points to 1.0.

Employment indexes also retreated, though they still indicated a small increase in employment levels and a slightly longer average workweek.

Indexes for the six-month outlook were generally lower than last months levels, suggesting that optimism was waning somewhat, with the future general business conditions index falling to 23.1, its fifth consecutive monthly decline.

In a series of supplementary questions, manufacturers were asked about their capital spending plans: 43 percent said that they expected to

increase capital spending over the next six to twelve months, while just 16 percent planned reductions.