Texas manufacturing growth opened the year at the lowest level in eight months, with declines recorded in capacity, shipments, and employment.
Source: Dallas Fed
BIGTX is up 1.33%.
The Texas production index stood at 16.6 in January, down by 9.4 from December’s 26.0, but higher than the 5.3 in January 2021. The latest reading is the lowest in eight months since May 2021’s 15.3.
Double-digit declines were seen in both the capacity utilization index and the shipment index, indicating a deceleration from the previous month. Employment also posted a decline but remained highly elevated.
Raw material prices declined slightly but remained highly elevated, in line with the drop in finished goods prices, which remained above the historical average. Wages and benefits for the month grew to a series high.
Expectations slipped to 38.0, while the future general business activity index was largely unchanged.