NEW YORK - Manufacturing activity in the Federal Reserve Bank of Kansas City’s region “moderated slightly, but remained generally solid overall, with a continued positive outlook for future months,” according to the bank’s monthly manufacturing survey, released Thursday.
“Factory activity in our region grew solidly in March but the pace slowed slightly from February, which firms blamed on rising gasoline prices. Expectations for future manufacturing activity also were slightly lower than last month but still higher than in late 2011 and indicative of continued solid growth,” said Chad Wilkerson, vice president and economist at the Federal Reserve Bank of Kansas City.
The composite index decreased to 9 in March from 13 in February, while the production index slid to 13 from 20, volume of shipments increased to 17 from 8, and the volume of new orders index gained to 17 from 8, and the backlog of orders index declined to 3 from 13. The new orders for exports index climbed to zero from negative 7, and the supplier delivery time index fell to 4 from 10.
The number of employees index grew to 12 from 11, while the average employee workweek index reversed to positive 2 from negative 3. The prices received for finished product index slid to 3 from 11, while the prices paid for raw materials index decreased to 33 from 36.
As for the inventories indexes, materials dropped to zero from 14, while the finished goods rose to 15 from 6.
In comparison to the same month a year ago, the composite index climbed to 24 from 21, the production index jumped to 31 from 28. The shipments index increased to 37 from 30, while new orders rose to 33 from 28, and the backlog of orders index slid to 20 from 24. The new orders for exports index grew to 6 from 5, and the supplier delivery time index dipped to 9 from 13.
The number of employees index gained to 23 from 17, while the average employee workweek index fell to 4 from 6. The prices received for finished product index held at 35 and the prices paid for raw materials surged to 71 from 57. The capital expenditures index rose to 15 from 12.
As for the inventories indexes, materials rose to 22 from 19, while the finished goods index slipped to 13 from 20.
In projections for six months from now, the composite index fell to 18 from 20, the production index slid to 31 from 35. The shipments index declined to 31 from 37, while new orders remained 34, and the backlog of orders index dropped to 13 from 24. The new orders for exports index decreased to 8 from 10, and the supplier delivery time index slipped to 7 from 11.
The number of employees index stayed at 23, while the average employee workweek index rose to 7 from 3. The prices received for finished product index slipped to 28 from 32, and the prices paid for raw materials slipped to 65 from 54. The capital expenditures index was at 20, up from 18 the prior month.
As for the inventories indexes, materials fell to negative 5 from zero, while the finished goods index inched up to 6 from 4.
The Tenth Federal Reserve District includes Kansas, Colorado, Nebraska, Oklahoma, Wyoming, northern New Mexico and western Missouri.
