Kansas City Fed Services Activity Index Rises in September
September 23 2022 - 12:21PM
Dow Jones News
By Colin Kellaher
Services activity in the middle of the U.S. continued to grow in
September, and expectations for future activity remained positive,
according to a monthly survey by the Federal Reserve Bank of Kansas
City.
The Tenth District Services Survey's composite index, a weighted
average of indexes covering revenue/sales, employment and
inventory, came in at 20 for September, up from readings of 14 in
August and 2 in July. Readings above zero indicate expansion, while
those below zero indicate contraction.
The Kansas City Fed said September's improvement was driven by
higher activity in restaurants, transportation, wholesale trade and
professional services.
"Overall, regional services firms saw solid growth in revenue in
September," said Chad Wilkerson, vice president and economist at
the bank. "However, firms saw less growth in employment and price
pressures continued."
The bank said expectations for future services activity posted a
reading of 9 in September, down slightly from 10 in August but
still in positive territory.
The Kansas City Fed's survey includes participants from such
service industries as retail and wholesale trade, automobile
dealers, real estate and restaurants. The survey provides
information on current services activity in the Tenth District,
which includes Colorado, Oklahoma, Wyoming, Nebraska, Kansas, the
northern half of New Mexico and the western third of Missouri.
The bank's monthly manufacturing survey, released Thursday,
showed that factory activity in the central U.S. region expanded
marginally in September, while firms were moderately optimistic
about the short-term outlook.
Write to Colin Kellaher at colin.kellaher@wsj.com
(END) Dow Jones Newswires
September 23, 2022 12:06 ET (16:06 GMT)
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