Manufacturing activity in the Federal Reserve Bank of Kansas City's region in November "was largely flat, although expectations for future activity improved considerably," according to the bank's monthly manufacturing survey, released Thursday.
"We saw our composite index move just slightly into positive territory for the first time since February, as some segments of durable manufacturing improved even as activity in our energy states remained sluggish," said Chad Wilkerson, vice president and economist at the Federal Reserve Bank of Kansas City.
The composite index reversed to positive 1 in November from negative 1 in October, while the production index dipped to 3 from 4, volume of shipments rose to positive 5 from negative 2, the volume of new orders index slid to 5 from 7, and the backlog of orders index dropped to negative 17 from negative 4. The new orders for exports index climbed to positive 7 from negative 10 and the supplier delivery time index rose to zero from negative 2.
The number of employees index decreased to negative 8 from negative 3, while the average employee workweek index gained to positive 2 from negative 5. The prices received for finished product index widened to negative 9 from negative 3, while the prices paid for raw materials index fell to negative 7 from zero.
As for the inventories indexes, materials rose to positive 3 from negative 12, while the finished goods crept to negative 6 from negative 7.
In projections for six months from now, the composite index improved to positive 8 from negative 1, and the production index jumped to 14 from 6. The shipments index rose 10 from 5, while new orders soared to 18 from 7, and the backlog of orders index remained at negative 1. The new orders for exports index dipped to negative 1 from zero, and the supplier delivery time index reversed to positive 3 from negative 4.
The number of employees index was at 13, up from 6, while the average employee workweek index gained to 3 from 1. The prices received for finished product index fell to 2 from 8, and the prices paid for raw materials rose to 19 from 13. The capital expenditures index was at positive 11, up from negative 9 the prior month.
As for the inventories indexes, materials narrowed to negative 9 from negative 19, while the finished goods index improved to negative 4 from negative 10.
The Tenth Federal Reserve District includes Kansas, Colorado, Nebraska, Oklahoma, Wyoming, northern New Mexico and western Missouri.
