MNI Indicators’ report revealed on Friday that the expansion of business activity in Chicago accelerated slightly this month.

The MNI Chicago Business Barometer, also known as Chicago purchasing manager's index (PMI) came in at 54.2 in May, down from an unrevised 52.6 in April. Economists had forecast the index to increase to 53.7.

A reading above 50 indicates improving conditions, while a reading below this level shows worsening of the situation.

According to the report, two of the five Barometer components rose in May. New Orders increased for the first time in three months, but the advance was not large enough to offset last month’s fall. Production picked-up to match its three-month average but was significantly below its 12-month average. Meanwhile, Supplier delivery times continued to expand but less so than last month. Employment fell to the lowest level since October 2017. Order Backlogs slipped into contraction again, the second such instance this year.