Manufacturers in the central Atlantic region "were generally upbeat in March," according to the monthly business activity survey conducted by the Federal Reserve Bank of Richmond, as the manufacturing index rose to 22 in March from 17 in February.
Index readings above zero show expansion, while numbers below zero indicate contraction.
Shipments climbed to 17 from 16, the Fed reported. Volume of new orders gained to 26 from 24, while the backlog of orders index rose to 14 from 8.
The capacity utilization index increased to 21 from 15, while the vendor lead time index slid to 8 from 9. The number of employees index doubled to 20 from 10, while the average workweek index grew to 21 from 16 last month, and the wages index increased to 21 from 15.
As for future outlook (six months from now), the shipments index was 44, off from 53 last month, while the volume of new orders index decreased to 48 from 53, and backlog of orders rose to 26 from 21. Capacity utilization fell to 28 from 46, the vendor lead time index gained to 12 from 8, the number of employees index rose to 25 from 23, while the average workweek index was at 15, up from 11 the previous month, and the wages index was 40, after 30 last month. The capital expenditures index dropped to 17 from 27.
The finished goods inventories index increased to 20 from 14, while the raw materials index gained to 23 from 20 the previous month.
The current trend in prices paid decreased to 1.69 in March from 2.09 in February, while slowing to 1.23 from 1.35 for prices received. The expected trend for the next six months decreased to 1.60 from 1.85 for prices paid, and rose to 1.55 from 1.41 for prices received.
All firms surveyed are located within the Fifth Federal Reserve District, which includes the District of Columbia, Maryland, North Carolina, South Carolina, Virginia, and most of West Virginia.
