Manufacturing activity in the Federal Reserve Bank of Kansas City's region “remained negative” in March, according to the bank's monthly manufacturing survey, released Thursday.
“Factories reported another decline in activity in March, although the drop was somewhat smaller than in the previous three months,” said Chad Wilkerson, vice president and economist at the Federal Reserve Bank of Kansas City.
The composite index narrowed to negative 6 in March from negative 12 in February, while the production index fell to negative 14 from negative 8, volume of shipments slid to negative 15 from negative 11, the volume of new orders index narrowed to negative 2 from negative 15, and the backlog of orders index climbed to negative 15 from negative 17. The new orders for exports index slid to negative 10 from negative 6 and the supplier delivery time index dipped to negative 1 from zero.
The number of employees index increased to negative 12 from negative 20, while the average employee workweek index inched up to negative 13 from negative 14. The prices received for finished product index narrowed to negative 10 from negative 17, while the prices paid for raw materials index improved to negative 10 from negative 11.
As for the inventories indexes, materials climbed to negative 2 from negative 16, while the finished goods rose to zero from negative 14.
In projections for six months from now, the composite index dipped to negative 2 from positive 4, and the production index slid to 5 from 16. The shipments index fell to 5 from 20, while new orders declined to zero from 15, and the backlog of orders index dropped to negative 10 from negative 6. The new orders for exports index rose to zero from negative 1, and the supplier delivery time index gained to negative 1 from negative 2.
The number of employees index was at 1, down from 3, while the average employee workweek index increased to 3 from 1. The prices received for finished product index reversed to positive 1 from negative 2, and the prices paid for raw materials dipped to 5 from 6. The capital expenditures index was at negative 9, unchanged from the prior month.
As for the inventories indexes, materials widened to negative 13 from negative 10, while the finished goods index narrowed to negative 10 from negative 21.
The Tenth Federal Reserve District includes Kansas, Colorado, Nebraska, Oklahoma, Wyoming, northern New Mexico and western Missouri.
