Texas manufacturing remains sluggish, according to Dallas Fed survey

by PegNews wire

DALLAS — Factory activity in Texas remained soft in January, according to the Federal Reserve Bank of Dallas' Texas Manufacturing Outlook Survey. The January survey can be found here.

Photo not provided by the Dallas Fed, Slugs

A spokesman for slugs was incensed at the report

Texas produces more than 8 percent of the total manufactured goods in the United States, ranking second behind California in factory production.

After a seasonal dip in December, nearly all current indicators rebounded, including production, capacity utilization, volume of new orders and shipments.

"Overall company business indicators suggest softening growth," said Dallas Fed economist Fiona Sigalla. "However, while some activity has been slowing, the state's manufacturing sector has been benefiting from strong demand for supplies and equipment to support the energy industry."

General business conditions indexes improved slightly, while still remaining negative, according to the survey. Upward price and wage pressures persist, and producers continue to report more price pressures on raw materials than on finished goods. The wages and benefits index also increased strongly.

Source: Federal Reserve Bank of Dallas