Regional purchasing managers' reports suggest some weakening in the manufacturing sector and generally stable prices in March. Finally, local banks report a pickup in loan demand and some improvement in delinquency rates. Consumer Spending Major retailers in the region report that business has slowed since the last report, with a number of contacts indicating that sales were below plan in March and especially April. Compared to a year ago, same-store sales ranged from a 1 percent decline to a 5 percent gain for the two months combined. Apparel generally continued to out-perform other categories.
Most contacts note ongoing weakness in home appliances and electronics.
However, a large retailer of building materials cites robust sales. While most retailers continue to report that inventories are on plan, a few now say stocks are on the high side. Both retail selling prices and merchandise costs remain steady. There has been no evident increase in retail wage pressures, although one contact noted increased difficulty in finding qualified managers. Construction and Real Estate New York State's existing home market slowed in the first quarter, with unit sales up just 1 percent from a year earlier and prices up 3 percent.