Although business was predominantly steady among area firms, more companies noted declines in shipments and new orders than increases. Declining demand was especially affecting producers of textiles, apparel, lumber, and primary metals. In contrast, makers of business and industrial equipment were continuing to post gains in new orders. With the slackening pace of production, working hours have been reduced at area plants and inventory levels have risen. Looking ahead, on balance manufacturers polled in October expect business to pick up moderately during the next six months.
Prospects vary considerably by sector, however.
Makers of apparel and construction materials anticipate further declines in orders, but makers of textiles and metals expect demand for their products to turn up, and producers of business equipment forecast continued growth in orders. Capital spending plans at area plants remain strong, overall. Retail Retail sales in the Third District rose modestly in September and October compared with the same months a year ago. Sales of consumer electronics, appliances, and home furnishings remain on an upward trend. Apparel sales have been mixed.