• NY Fed Empire State Manufacturing Index rose in February but stayed in negative territory.
• US Dollar Index clings to strong daily gains slightly below 104.00.

The headline General Business Conditions Index of the Federal Reserve Bank of New York's Empire State Manufacturing survey recovered to -5.8 in February from -32.9 in January. This reading came in better than the market expectation of -18.

"Delivery times shortened, and inventories edged higher," the NY Fed noted in its publication. "Employment levels declined for the first time since early in the pandemic, and the average workweek shortened for a third consecutive month"

Regarding inflation-related developments, "both input and selling price increases picked up. Looking ahead, firms expect business conditions to improve somewhat over the next six months," the NY Fed said.

Market reaction

The US Dollar Index preserves its bullish momentum after this data and was last seen rising 0.6% on the day at 103.85.