Manufacturing activity in the central Atlantic region "continued to grow at a moderate pace" in September, according to the monthly business activity survey conducted by the Federal Reserve Bank of Richmond, as the manufacturing index rose to 14 in September from 12 in August.
Index readings above zero show expansion, while numbers below zero indicate contraction.
Shipments crept to 11 from 10 the Fed reported. Volume of new orders rose to 14 from 13, while the backlog of orders index decreased to 6 from 15.
The capacity utilization index slid to 13 from 17, while the vendor lead time index declined to 10 from 16. The number of employees index grew to 17 from 13, while the average workweek index was at 10 after an 8 reading last month, and the wages index fell to 9 from 11.
As for future outlook (six months from now), the shipments index was 41, off from 43 last month, while the volume of new orders index slumped to 37 from 47, and backlog of orders dropped to 11 from 29. Capacity utilization fell to 26 from 35, the vendor lead time index rose to 12 from 8, the number of employees index dipped to 17 from 18, while the average workweek index was at 10, unchanged from 10 the previous month, and the wages index was 36, after 28 last month. The capital expenditures index was 38 after 27 last month.
The finished goods inventories index gained to 23 from 16, while the raw materials index grew to 20 from 17 the previous month.
The current trend in prices paid climbed to 2.10 in September from 1.39 in August, while surging to 1.17 from 0.76 for prices received. The expected trend for the next six months slid to 2.00 from 2.05 for prices paid, and decreased to 1.19 from 1.34 for prices received.
All firms surveyed are located within the Fifth Federal Reserve District, which includes the District of Columbia, Maryland, North Carolina, South Carolina, Virginia, and most of West Virginia.
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