Service sector activity "accelerated in July," according to the Federal Reserve Bank of Richmond service-sector activity survey, released Tuesday.
Overall, the service sector revenues index soared to 32 from 19, while the number of employees index increased to 12 from 10, the average wage index rose to 25 from 21, and the expected product demand during the next six months index grew to 30 from 25.
The indexes are the percentage of responding firms reporting increase, less the percentage reporting a decrease.
By sector, the retail area excluding services firms reported the sales revenues index surged to 35 from 15, the number of employees index grew to positive 10 from negative 19, while the average wages index dropped to 20 from 27. The inventories index increased to 15 from 8, while the big-ticket sales index soared to positive 19 from negative 2. The shopper traffic index surged to 48 from 16, while expected product demand during the next six months slumped to 27 from 11.
For services firms excluding retail, the revenues index was 32 compared with 19 last month, while the number of employees index decreased to 12 from 15, and the average wage index rose to 26 from 19. The expected product demand during the next six months index climbed to 31 from 27.
The current price trend for the two sectors together dipped to 1.26 from 1.36, while growing to 1.48 from 1.32 for retail alone and slipping to 1.23 from 1.36 for services, excluding retail.
The expected price trend index for the two sectors together fell to 1.42 in July from 1.69 in June, while sliding to 1.32 from 1.65 for retail alone and slowing to 1.44 from 1.70 from for services, excluding retail.
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.
