Global| Feb 24 2014Federal Reserve Bank of Dallas Activity Index Deteriorates
by:Tom Moeller
|in:Economy in Brief
Summary
The Federal Reserve Bank of Dallas reported that its General Business Activity Index fell to 0.3 (SA) this month from 3.8 during January. It was the lowest level in nine months. Movement in the index components was mixed. The company [...]
The Federal Reserve Bank of Dallas reported that its General Business Activity Index fell to 0.3 (SA) this month from 3.8 during January. It was the lowest level in nine months. Movement in the index components was mixed. The company outlook reading fell to its lowest level in nine months and new orders volume growth slipped. Production and employment moved up m/m but have been trendless since the middle of last year. Finally, the capital expenditures index declined sharply but the length of the workweek jumped to its highest point since early 2011. The prices received index was improved versus last year but wages & benefits surged to the highest level since January 2008.
The index of business activity in six months deteriorated to a three month low. Measures of company outlooks, new orders volumes, production and business activity all declined. Wages and the length of the workweek, six months hence, also fell sharply.
Each index is calculated by subtracting the percentage reporting a decrease from the percentage reporting an increase. When all firms report that activity has increased, an index will register 100. An index will register -100 when all firms report a decrease. An index will be zero when the number of firms reporting an increase or decrease is equal. Items may not add up to 100% because of rounding. The data can be found in Haver's SURVEYS database.
| Texas Manufacturing Outlook Survey | Feb | Jan | Dec | Feb '13 | 2013 | 2012 | 2011 |
|---|---|---|---|---|---|---|---|
| General Business Activity Index (SA) | 0.3 | 3.8 | 3.7 | 1.8 | 2.2 | -0.5 | -0.5 |
| Company Outlook | 3.4 | 15.9 | 16.3 | 5.6 | 7.4 | 4.2 | 6.8 |
| Production | 10.8 | 7.1 | 6.0 | 5.8 | 9.8 | 8.7 | 6.9 |
| New Orders Volume | 9.5 | 14.4 | 1.3 | 3.2 | 7.2 | 1.4 | 5.7 |
| Number of Employees | 9.9 | 8.6 | 7.4 | 1.8 | 5.6 | 11.8 | 8.9 |
| Prices Received for Finished Goods | 11.2 | 11.0 | 6.1 | 3.9 | 2.9 | 0.9 | 9.2 |
| Wages & Benefits | 25.8 | 21.6 | 22.2 | 12.3 | 16.6 | 16.7 | 14.5 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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