Texas factory activity, as measured by the production index, "increased for the 12th month in a row in April," according to the monthly business activity survey conducted by the Federal Reserve Bank of Dallas, released Monday.
The general business activity index rose to 11.7 in April from 4.9 in March.
The production index grew to 24.7 from 17.1.
Capacity use climbed to 18.7 from 13.1, the Fed reported. Volume of new orders increased to 21.3 from 14.7, while growth rate of orders index climbed to 13.4 from 8.6.
Unfilled orders grew to 3.1 from 0.9 in the prior survey, while the volume of shipments slipped to 12.4 from 19.5, and delivery times increased to 3.2 from 1.7. The materials inventory index gained to 10.2 from 9.6, the finished goods inventory fell to 5.6 from 9.1. Prices paid for raw materials dropped to 10.2 from 23.1, while prices received for finished goods rose to 8.0 from 7.3. Wages and benefits crept to 21.3 from 20.8, while the employment index climbed to 19.7 from 15.0, and the hours worked index increased to 13.9 from 5.3, and the capital expenditures index inched up to 14.3 from 14.1.
As for future outlook (six months from now), the general business conditions index grew to 24.5 from 17.6 last month, the production index increased to 47.1 from 46.4, while capacity use crept to 39.1 from 39.0, the Fed reported. Volume of new orders climbed to 43.9 from 42.1, while growth rate of orders index increased to 37.0 from 33.5.
Unfilled orders slid to 5.9 from 8.1, while the volume of shipments climbed to 43.3 from 42.3, and delivery times fell to negative 2.6 from negative 0.1. Materials inventories slid to 2.9 from 9.6, and the finished goods inventory reversed to positive 1.0 from negative 5.3.
Prices paid for raw materials fell to 31.4 from 32.6, while prices received for finished goods dropped to 21.2 from 28.4. Wages and benefits decreased to 39.8 from 47.6, the employment index dipped to 30.8 from 35.1, while the hours worked index gained to 10.3 from 8.8, and the capital expenditures index rose to 17.7 from 15.8.
The Texas Manufacturing Outlook Survey is a monthly anecdotal survey of manufacturers in Texas. Roughly 80 manufacturers regularly participate in the Dallas Fed survey, which began collecting data in May 2004.
