U.S. regional nonmanufacturing sector continues to expand in January: survey

APD NEWS

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Business activities in the nonmanufacturing sector in some eastern U.S. states continued to expand in January, a report by the Federal Reserve Bank of Philadelphia showed on Tuesday.

The diffusion index for current general activity at the firm level rose 14 points, from a revised reading of 9.1 in December to 23.5 in January, said the report titled the January Nonmanufacturing Business Outlook Survey.

The sales/revenues index increased 18 points to 29.2 in January, while the regional activity index held steady at 13.4.

The full-time employment index fell 8 points to 12.5 in January. The part-time employment index edged down 2 points to 7.5, and the wages and benefits indicator edged up to 49.9. The average workweek index increased 3 points to 19.4.

The price indicator readings suggest overall increases in prices for inputs and for the firms' own goods and services. The prices paid index fell 10 points to 25. Regarding prices for firms' own goods and services, the prices received index held steady at 16.3 in January.

Both future activity indexes suggest that firms anticipate continued growth over the next six months. The diffusion index for future activity at the firm level moved up slightly from a revised reading of 53.8 in December to 55.6 this month. The future regional activity index increased 8 points to 36.9.

The Nonmanufacturing Business Outlook Survey is a monthly survey of nonmanufacturers in the Third Federal Reserve District covering eastern Pennsylvania, southern New Jersey and Delaware.

The Federal Reserve Bank of Philadelphia is one of the 12 regional Reserve Banks that, together with the Board of Governors in Washington D.C., make up the Federal Reserve System.