Service sector activity "expanded at a moderate pace in February," according to the Federal Reserve Bank of Richmond service-sector activity survey, released Tuesday.
Overall, the service sector revenues index climbed to 18 from 14, while the number of employees index decreased to 4 from 14, the average wage index slid to 20 from 24, and the expected product demand during the next six months index grew to 21 from 17.
The indexes are the percentage of responding firms reporting increase, less the percentage reporting a decrease.
By sector, the retail area excluding services firms reported the sales revenues index dipped to 20 from 25, the number of employees index fell to 14 from 20, while the average wages index gained to 23 from 13. The inventories index declined to 16 from 18, while the big-ticket sales index gained to 21 from 18. The shopper traffic index increased to 26 from 17, while expected product demand during the next six months doubled to 16 from 8.
For services firms excluding retail, the revenues index was 18 compared with 12 last month, while the number of employees index decreased to 2 from 13, and the average wage index fell to 19 from 26. The expected product demand during the next six months index rose to 22 from 19.
The current price trend for the two sectors together dipped to 1.26 from 1.35, while falling to 1.15 from 1.60 for retail alone and slipping to 1.27 from 1.32 for services, excluding retail.
The expected price trend index for the two sectors together grew to 1.89 in February from 1.81 in January, while falling to 1.21 from 1.88 for retail alone and gaining to 1.96 from 1.80 for services, excluding retail.
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.
