Manufacturing activity in the central Atlantic region "remained soft in April," according to the monthly business activity survey conducted by the Federal Reserve Bank of Richmond, as the manufacturing index narrowed to negative 3 in April from negative 8 in March.
Index readings above zero show expansion, while numbers below zero indicate contraction.
Shipments narrowed to negative 6 from negative 13, the Fed reported. Volume of new orders climbed to negative 6 from negative 13, while the backlog of orders index increased to negative 8 from negative 12.
The capacity utilization index rose to negative 4 from negative 7, while the vendor lead time index gained to negative 6 from negative 9. The number of employees index rose to 7 from 6, while the average workweek index was at positive 4 after a negative 4 reading last month, and the wages index inched up to 9 from 8.
As for future outlook (six months from now), the shipments index was 38, up from 37 last month, while the volume of new orders index decreased to 32 from 35, and backlog of orders gained to 19 from 16. Capacity utilization rose to 26 from 24, the vendor lead time index climbed to 6 from 5, the number of employees index slipped to 16 from 23, while the average workweek index was at 12, up from 8 the previous month, and the wages index was 28, after 31 last month. The capital expenditures index was 26 after 32 last month.
The finished goods inventories index fell to 18 from 25, while the raw materials index slid to 19 from 25 the previous month.
The current trend in prices paid climbed to 0.69 in April from 0.62 in March, while growing to 0.51 from 0.10 for prices received. The expected trend for the next six months fell to 1.22 from 1.53 for prices paid, and decreased to 0.95 from 1.09 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.
