Most dealers have been holding inventories steady and plan no major changes in the coming months because sales are expected to be stable. Manufacturing Manufacturers continued to operate at moderately high levels of capacity last month. Manufacturing materials were generally available, with lead times unchanged. Manufacturers have been trimming their inventories slightly, and some say they plan further reductions because stocks exceed desired levels. Housing Builders report housing starts edged down last month and were generally unchanged from a year ago.
Builders expect construction activity to hold steady over the next several months.
Sales of new homes were down slightly from the previous month and unchanged from a year ago. Most building materials were readily available and delivery times were normal. Mortgage lenders say demand was unchanged last month. Banking Bankers report that loans and deposits both increased slightly last month, leaving loan-deposit ratios little changed. Commercial and industrial loans were flat, while other loan categories showed small gains.