Richmond Fed: Mfg Growth Advances

Manufacturing activity in the central Atlantic region rose modestly in October, following a slight pullback in September, according to a monthly business activity survey the Federal Reserve Bank of Richmond released Tuesday.

The manufacturing index rose to a level of 5 in October from negative 2 in September. Shipments rebounded to 3 from negative 4, the Fed reported.

New-order volume rose to 8 from zero and the order backlog index fell to negative 12 from negative 11.

As for future outlook, shipments were unchanged at 38.

The service-sector revenues index slid to negative 7 in October from negative 5 in September, while the reading for the number of employees narrowed to negative 7 from negative 12.

“Service-sector activity declined in October although the weakness in several indicators was less severe than a month earlier,” the survey said. “However, survey participants’ predictions for business prospects during the next six months jumped up in October.”

The average wage index stayed at 8.

The index that tracks expected product demand during the next six months surged to 32 from 17.

For reprint and licensing requests for this article, click here.
MORE FROM BOND BUYER