Manufacturing activity in the Federal Reserve Bank of Kansas City’s region “declined moderately in September, and firms’ expectations about future factory activity dropped noticeably,” according to the bank’s monthly manufacturing survey released today.
“Most price indexes in the survey fell sharply, following more modest decreases in the previous two months,” the Fed said. “Still, considerably more firms continued to plan finished goods price increases heading forward than planned price decreases.”
The production index slumped to negative 9 in September from positive 6 in August, while the volume of shipments index reversed to negative 8 from positive 2, and the volume of new orders index slipped to egative 14 from positive 9.
In projections for six months from now, the production index decreased to 3 from 30. The shipments index slipped to negative 1 from positive 25, while new orders fell to 4 from 28.