Richmond Fed August manufacturing index -19 versus -14 expected

• Prior month -17
• Services index -11 vs +5 last month
• Manufacturing shipments -15 vs -21 last month

Other details:

• Employment -15 versus -5 last month
• Wages 14 versus +15 last month
• Prices paid 2.45 versus 3.00 last month
• Prices received 1.87 versus 1.31 last month
• New orders -26 versus -23 last month
• Backlog of orders -27 versus -20 last month
• Capacity utilization -17 versus -13 last month
• Capital expenditures -14 versus -9 last month
• Services expenditure -12 versus -14 last month

Fifth District manufacturing activity slowed in August, according to the
most recent survey from the Federal Reserve Bank of Richmond. The
composite manufacturing index edged down from −17 in July to −19 in
August. Of its three component indexes, shipments rose from −21 to −15,
new orders decreased from −23 to −26, and employment fell from −5 to
−15. Firms
grew less optimistic about local business conditions, as the index
decreased from −21 to −24. The index for future local business
conditions fell notably from 7 to −18 in August, with fewer than 10
percent of respondents expecting conditions to improve in the next six
months. However, the future indexes for shipments and new orders
remained solidly in positive territory, suggesting that firms continued
to expect improvements in these areas over the next six months.The
vendor lead time index decreased slightly into negative territory. On
balance, firms continued to report declining backlogs in August as that
index remained negative.The average growth rate of prices paid
decreased in August. The average growth rate of prices received
increased somewhat, although it remained relatively low. Firms expected
little change in price growth over the next 12 months.

This article was written by Giuseppe Dellamotta at www.forexlive.com.