Richmond Fed reports Regional Manufacturing Slowed in Nov.
11/23 11:48 AM
Richmond Fed reports Regional Manufacturing Slowed in Nov. CRANBURY, N.J. (DTN) -- Manufacturing activity in the Fifth District slowed in November, but continued to expand, the Federal Reserve Bank of Richmond said today following a survey of regional manufacturers. "All three component indexes -- shipments, new orders, and employment -- continued to reflect growth. However, many firms reported that inventories were too low, as the index for finished goods inventories reached its lowest value on record," said the Richmond Fed. "Meanwhile, vendor lead times and backlogs of orders continued to grow. Manufacturers remained optimistic that business conditions would improve in the coming months." The bank said manufacturers surveyed said both hiring and wages paid increased in November, but firms continued to struggle to find workers with the necessary skills. These trends are expected to continue over the next six months. Both costs paid by manufacturers and prices received for their output declined, on average, in November, but remain elevated. Price growth is seen slowing over the next year. The Fifth District includes the District of Columbia, Maryland, North Carolina, South Carolina, Virginia, and most of West Virginia. (c) Copyright 2021 DTN, LLC. All rights reserved.