“Manufacturing activity in the central Atlantic region firmed somewhat in June after stalling in May,” according to the monthly business activity survey conducted by the Federal Reserve Bank of Richmond.
“The index of overall activity steadied as a slightly positive reading for new orders coupled with solid employment growth offset a slightly negative reading for shipments,” the Richmond Fed said. “Other indicators were mixed, however. District contacts reported more moderate weakness in backlogs and capacity utilization, but noted that delivery times and finished goods inventories grew at a somewhat quicker pace.”
The manufacturing index rose to positive 3 in June from negative 6 in May.
Index readings above zero show expansion, while numbers below zero indicate contraction.
Shipments narrowed to negative 1 from negative 13, the Fed reported. Volume of new orders rose to positive 1 from negative 15, while the backlog of orders index increased to negative 16 from negative 19.
As for the future outlook six months from now, the shipments index was 44, up from 37 last month, while the volume of new orders index increased to 46 from 40, and backlog of orders slid to 20 from 22. The capital expenditures index was 25, down from 26 in May.
