Semiconductor firms reported that the industry appears to have hit bottom, with sales flat for most types of chips, and slightly increasing for some types. Manufacturers of food products reported steady sales. Apparel producers said that there are signs that sales are picking up, after softness for some types of products over the past few weeks. Demand for gasoline was reported to be seasonally strong. Domestic demand for petrochemical products continued to be very strong, but had weakened in recent weeks.
Producers say they are unable to export petrochemicals and are competing with cheap imports.
Services Demand for transportation services, such as rail, air and trucking, continued to be strong. Temporary service firms reported a slight slowing in demand for their services from the manufacturing industry, although a lack of labor continues to limit their ability to fill orders. Telecommunications firms reported an increase in demand for wireless and data services. Retail Sales Retailers said sales growth has been slightly softer over the past few weeks. One retailing contact said it has become tougher to obtain financing for expansion of new or existing facilities.