Federal Reserve Bank of Dallas (09/28/2015)

Texas factory activity was essentially flat in September, according to the Federal Reserve Bank of Dallas. The production index remained near zero (0.9), suggesting output held steady for a second month in a row after several months of declines. The new orders index posted a second negative reading but rose 8 points to -4.6. The shipments index rose to near zero from -3, and the capacity utilization index posted its first positive reading in eight months, coming in at 4.9.

Labor market indicators reflected employment declines and shorter workweeks. The September employment index posted a fifth consecutive negative reading, falling to -6.1. Twelve percent of firms reported net hiring, while 18% reported net layoffs. The hours worked index fell markedly from 0.6 to -11.1, suggesting a decline in workweek length from August.