According to the Empire State manufacturing index, manufacturing is still expanding but at a slower pace. The index fell 7 points to 19 from 25.6 in August.  Economist had been looking for the index to come in at 23.

• New orders fell 0.6 points to 16.5
• Shipments dropped 11.4 points from 14.3
• Delivery times lengthened while inventories increased
• Prices paid rose slightly and prices received fell slightly
• Capital expenditures were lower by 7 points to 19.5
• Technology spending fell 2 points to 10.6 

Firms continue to remain optimistic looking out six months, although, optimism has been tempered in the past few months. Finding skilled workers is still mentioned by many companies as their biggest problem. Employers are having to pay higher wages and, in some cases, higher material costs. Eventually, these price increases will need to be passed onto the consumer or declining margins will eat into profits. The report highlights continued expansion, but at a hesitant pace with potential tariffs overhanging the market.  

Markets are in defensive mode with metals and mining leading the action. Gold is higher by 0.53% @ $1270.50, and the gold and silver Index is higher by 2.8%. 

Technology is lagging, even the high-flying software sector is lower on the day. Software is down 1.10% outpacing the 0.38% decline in semiconductors, as well as the Nasdaq, which is down 0.85%.   

• The Dow Jones Industrial Average is lower by 0.13%
• The S&P 500 is lower by 0.30%
• The Nasdaq is lower by 0.86%
• The Russell 2000 is lower by 0.74%

Breadth:

• NYSE advances 1,357 to declines 1,539; new 52-week highs 70 to new lows 67
• Nasdaq advances 1,180 to declines 1,718; new 52-week highs 63 to new lows 57