Kansas City Fed Services Activity Index Lower in June
Kansas City Fed Services Activity Index Lower in June Services activity in the middle of the U.S. eased a bit in June, and expectations for future activity also edged down but remained positive, according to a monthly survey by the Federal Reserve Bank of Kansas City. The Kansas City Fed said a slower pace of revenue and sales in June was driven by reduced activity in the transportation, auto, health services, professional/high-tech services, education and real-estate sectors. The bank said expectations for future services moved lower in June but remained in positive territory with a reading of 16, down from 26 in May. Long-running supply-chain issues continue to weigh on firms surveyed, with lack of product availability, shipping delays, and warehousing and storage issues topping the list of factors vexing businesses. The bank said nearly three-quarters of firms surveyed said they expect supply-chain disruptions and shortages to remain unchanged or worsen in the next six months. The Kansas City Fed's survey includes participants from such service industries as retail and wholesale trade, automobile dealers, real estate and restaurants. The bank's monthly manufacturing survey, released Thursday, showed that factory activity in central U.S. cooled in June for the third consecutive month, growing at its lowest level in 18 months.
Published : 2 years ago by MarketScreener in Finance Markets
Services activity in the middle of the U.S. eased a bit in June, and expectations for future activity also edged down but remained positive, according to a monthly survey by the Federal Reserve Bank of Kansas City.
The Tenth District Services Survey's composite index, a weighted average of indexes covering revenue/sales, employment and inventory, came in at 14 for June, down from readings of 20 in both May and April. Readings above zero indicate expansion, while those below zero indicate contraction.
The Kansas City Fed said a slower pace of revenue and sales in June was driven by reduced activity in the transportation, auto, health services, professional/high-tech services, education and real-estate sectors.
The bank said expectations for future services moved lower in June but remained in positive territory with a reading of 16, down from 26 in May.
Long-running supply-chain issues continue to weigh on firms surveyed, with lack of product availability, shipping delays, and warehousing and storage issues topping the list of factors vexing businesses.
The bank said nearly three-quarters of firms surveyed said they expect supply-chain disruptions and shortages to remain unchanged or worsen in the next six months.
The Kansas City Fed's survey includes participants from such service industries as retail and wholesale trade, automobile dealers, real estate and restaurants. The survey provides information on current services activity in the Tenth District, which includes Colorado, Oklahoma, Wyoming, Nebraska, Kansas, the northern half of New Mexico and the western third of Missouri.
The bank's monthly manufacturing survey, released Thursday, showed that factory activity in central U.S. cooled in June for the third consecutive month, growing at its lowest level in 18 months.
Topics: Kansas, Missouri, Kansas City