Manufacturing Activity in Texas Rises
January 27 2020 - 11:30AM
Dow Jones News
By Dave Sebastian
Factory activity in Texas picked up in January, suggesting a
stronger output growth than last month, according to a new report
about the state's industrial sector from the Federal Reserve Bank
of Dallas.
The production index increased 6.9 points to 10.5 in the current
month, the latest Texas Manufacturing Outlook Survey shows. The
Dallas Fed conducts the monthly survey, which asks Texas business
executives about conditions in the industrial sector.
The index for general business activity for January was negative
0.2 as some survey respondents reported no change this month and
others reported improved and worsened activity. The index's reading
in December was negative 3.2.
The company outlook index ticked up to 1.9 from 1.3 in
December.
The new orders index rose 16 points to 17.6 in January, and the
growth rate of orders was 6.1, compared with negative 5 in
December. The shipments index grew to 8.6 from 3.
The delivery time index was negative 3 in the latest survey,
compared with negative 7 last month. The finished goods inventories
index was negative 3.5, compared with negative 12.3 in
December.
The capital expenditures index fell to 9.1 from 15.3 in
December.
The production index looking six months forward ticked up to
38.9 from 36.9 in December. The capital expenditures index looking
six months forward rose to 28.3 from 20.1. The capacity utilization
index looking six months forward increased to 37.4 from 35.8.
The employment index fell to 1.9 from 6.2, suggesting slower
employment growth and no change in workweek length. The survey said
16% of firms reported net hiring, while 14% reported net
layoffs.
Write to Dave Sebastian at dave.sebastian@wsj.com
(END) Dow Jones Newswires
January 27, 2020 11:15 ET (16:15 GMT)
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