Manufacturing activity in the central Atlantic region "activity slowed in February," according to the monthly business activity survey conducted by the Federal Reserve Bank of Richmond, as the manufacturing index slid to 0 in February from 6 in January.
Index readings above zero show expansion, while numbers below zero indicate contraction.
Shipments slumped to negative 1 from positive 10, the Fed reported. Volume of new orders fell to negative 2 from positive 4, while the backlog of orders index decreased to negative 10 from negative 9.
The capacity utilization index slid to negative 4 from positive 9, while the vendor lead time index dipped to 2 from 5. The number of employees index fell to 4 from 5, while the average workweek index was at negative 6 after a positive 8 reading last month, and the wages index grew to 8 from 3.
As for future outlook (six months from now), the shipments index was 30, unchanged from 30 last month, while the volume of new orders index declined to 24 from 29, and backlog of orders held at 11. Capacity utilization grew to 25 from 20, the vendor lead time index dipped to 4 from 5, the number of employees index slid to 12 from 18, while the average workweek index was at 10, off from 12 the previous month, and the wages index was 23, after 31 last month. The capital expenditures index was 27 after 36 last month.
The finished goods inventories index fell to 20 from 25, while the raw materials index slid to 16 from 19 the previous month.
The current trend in prices paid slumped to 0.32 in February from 0.70 in January, while dropping to 0.09 from 0.53 for prices received. The expected trend for the next six months fell to 0.91 from 1.17 for prices paid, and decreased to 0.48 from 0.82 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.
