• The headline NY Fed Manufacturing Index slumped to -11.60 in May from 24.6 in April, much bigger than the expected drop. 
• The subindices were mixed and the US dollar seemed to weaken a tad. 

The headline General Business Conditions Index of the NY Fed's Empire State Manufacturing Survey slumped to -11.60 in May from 24.60 in April. That was much larger than the expected drop to 17.00 and marked the largest miss on expectations since April 2020, when the pandemic first struck the US. 

Subindices:

• The New Orders Index fell to -8.8 in May from 25.1 in April. 
• The Prices Paid Index fell to 73.7 from 86.4. 
• The Employment Index rose to 14.0 from 7.3. 
• The Six-Month Business Conditions Index rose to 18.0 from 15.2. 

Market Reaction

The DXY saw some weakness in wake of the latest NY Fed data, though remains reasonably well supported in the mid-104.00s. The data has resulted in heightened calls that the US might be in/going into a recession.