RICHMOND, Va., Oct. 22 (UPI) -- Central Atlantic manufacturing failed to pull out of late summer doldrums in September, the Federal Reserve Bank of Richmond, Va., said Tuesday.
The manufacturing index for the Federal Reserve's Fifth District, which dropped from 14 in August to zero in September, climbed 1 point in October, the Fed said.
The volume of new orders was flat, coming in at zero, down from 5 in September. The shipments index slipped from minus 1 to minus 2. The backlog of orders index dropped from minus 7 to minus 15.
"Manufacturing in the Fifth District remained weak in October, according to the most recent survey," the Fed's monthly report said. "Shipments, capacity utilization, and the backlog of orders declined. The volume of new orders flattened while vendor lead-time rose," the Fed said.
The component index measuring the number of employees turned positive, climbing from minus 6 to 4, and the average hours worked index was relatively stable, rising from minus 4 to minus 1.
Respondents indicated some optimism for future business remains. The expected volume of new orders index dropped 12 points to 23, while shipments expectations moved 9 points lower to 30.
"Manufacturers' outlook for the six months ahead was optimistic, though somewhat less buoyant than in recent months. Firms anticipated shipments and the volume of new orders would increase substantially, along with increased capacity utilization," the Fed said.
