# New York Fed Finds Surging Costs Turn Executive Outlook Negative

> New York Fed reports service sector firms now expect business decline due to rising costs.
- Title: New York Fed Finds Surging Costs Turn Executive Outlook…
- Summary: New York Fed reports service sector firms now expect business decline due to rising costs. New York Fed survey shows service sector firms expect business…
- Keywords: new york fed, service sector, business activity, costs, executive outlook, business leaders survey, business, finance, York, Fed, Finds, Surging
- Source: Pymnts — https://pymnts.com/economy/2026/new-york-fed-finds-surging-costs-turn-executive-outlook-negative
- Author: PYMNTS
- Published: 2026-10-16T23:39:58+00:00
- Read time: 1 min
- Topics: new york fed, service sector, business activity, costs, executive outlook, business leaders survey, business, finance
## New York Fed Survey
New York Fed survey shows service sector firms became pessimistic about business outlook in early October.
## Business Activity Index
Business activity index fell 10 points to, 5.1, entering negative territory for the first time since December 2025.
## Price Increases Widespread
Price increases remained widespread with employment flat as firms turned pessimistic about outlook.
## Survey Details
Survey conducted with 150 service sector executives across New York State, Northern New Jersey and Connecticut.
## Key takeaway

New York Fed survey shows service sector firms expect business activity decline as costs surge.