Texas service sector activity increases, Dallas Fed Bank says
Activity in Texas’ service sector increased in September, the Federal Reserve Bank of Dallas reports today in its monthly Texas Service Sector Outlook Survey.
Texas’ service sector represents 59 percent of the state economy and employs nealry 7 million workers.
The revenue index – a key measure – rose to 14.1 from 3.2, and a third of respondents said revenue increased in September from August.
Positive readings in the survey generally indicate expansion of service sector activity, while readings below zero generally indicate contraction.
“Labor market indicators remained positive and reflected some hiring, but little change in the workweek,” the Dallas Fed Bank said. “Perceptions of general business conditions were generally more pessimistic this month, although the pace of deterioration slowed.”
In the Texas Retail Outlook Survey component of the survey, which uses information from respondents in the retail and wholesale sectors, retail sales increased in September, according to respondents who answered the retail portion of the survey.
The volatile sales index rose to 18.6 from 9.2, for two straight months of sales increases. Inventories rose.
“Indexes of future retail sector activity remained in positive territory in September with the exception of part-time employment and workweeks,” the Dallas Fed Bank said.