MNI Indicators' report revealed on Thursday that business activity in Chicago decreased significantly this month, as business confidence dipped sharply amid the current spread of COVID-19.

The MNI Chicago Business Barometer, also known as Chicago purchasing manager's index (PMI) came in at 35.4 in April, down from an unrevised 47.8 in April. That was the lowest level since March 2009.

Economists had forecast the index to come in at 38.0.

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

According to the report, Production tumbled 19 points in April, hitting the lowest level since June 1980, while New Orders plunged 21 points, recording the largest decline on record, as respondents noted a severe negative COVID-19 impact on both demand and production. In addition, Employment fell in April to the lowest level since June 2009, while Order Backlogs eased, following two straight months of gains. Meanwhile, Inventories rose substantially, although remaining below the 50-mark for a ninth successive month.