Gary Siegel

NEW YORK – “Activity in the service sector surged in December,” according to the Federal Reserve Bank of Richmond service-sector activity survey, released today, “Retail sales rose sharply and shopper traffic increased. However, weakness in big-ticket sales continued. Retail inventories grew rapidly this month. At non-retail services firms, revenue growth was a bit more widespread than a month ago. Looking ahead six months, survey respondents anticipated a stronger market for their goods and services.”

NEW YORK – “Manufacturing activity in the central Atlantic region expanded at a quicker pace in December,” according to the monthly business activity survey conducted by the Federal Reserve Bank of Richmond. “All broad indicators — shipments, new orders and employment — posted solid gains. Other indicators also suggested stronger activity. District contacts reported that order backlogs returned to positive territory and capacity utilization grew at a faster pace. Manufacturers reported that delivery times grew at a somewhat higher rate, while inventories grew at a somewhat slower pace.”

NEW YORK - The consumer confidence index dropped to 52.5 in December from an upwardly revised 54.3 last month, The Conference Board reported this morning.

Consumer sentiment rose to 74.5 in December in the final reading of the University of Michigan index. That compares with a preliminary December reading of 74.2 reading and a final reading of 71.6 in November, according to market sources.

NEW YORK - The University of Michigan's final December consumer sentiment index reading was 74.5, compared to the preliminary December 74.2 reading, the final November 71.6, and the final October 67.7, according to market sources.

NEW YORK - The Treasury Department said it will auction $35 billion two-year notes on Monday, December 27, and $35 billion five-year notes on Tuesday, December 28.

NEW YORK - The Treasury Department said it will auction $29 billion seven-year notes on Wednesday, December 29.

NEW YORK - The Treasury Department said Thursday it will auction $29 billion 91-day bills and $28 billion 182-day discount bills Monday.

Mortgage loan application volume fell 18.6% on a seasonally adjusted basis in the week ended Dec. 17, the Mortgage Bankers Association reported Wednesday.

NEW YORK - The Treasury Department Wednesday sold $25 billion 56-day cash management bills, dated December 23, due February 17, 2011, at a 0.130% high tender rate.

NEW YORK - The Treasury Department Tuesday auctioned $25 billion of four-week bills at a 0.070% high yield, a price of 99.994556.

Tender rates for the Treasury Department's latest 91-day and 182-day discount bills were lower, as the three-months incurred a 0.130% high rate, down from 0.140% the previous week, and the six-months incurred a 0.185% high rate, up from 0.190%.

The Federal Reserve Bank of Chicago's national activity index for November declined to negative 0.46 from a reading of negative 0.25 reading in October.

NEW YORK - Tender rates for the Treasury Department’s latest 91-day and 182-day discount bills were lower, as the three-months incurred a 0.130% high rate, down from 0.140% the prior week, and the six-months incurred a 0.185% high rate, up from 0.190% the week before.

NEW YORK - The Treasury Department said it will auction $25 billion 56-day cash management bills on Wednesday, December 22.

NEW YORK - The Treasury Department said Monday it will sell $25 billion of four-week discount bills Tuesday.

NEW YORK - The Chicago Fed National Activity Index for November declined to negative 0.46 from a revised negative 0.25 reading in October, originally reported as negative 0.28.

The composite index of leading economic indicators grew in line with economist expectations in November, expanding 1.1%, the Conference Board said Friday.

NEW YORK - The composite index of Leading Economic Indicators grew 1.1% in November, the Conference Board reported today.

The Philadelphia region’s manufacturing sector showed improvement in December as the general business conditions index climbed to 24.3 from 22.5, according to this month’s Federal Reserve Bank of Philadelphia Report on Business.