Skip to Main Content

Fifth District Survey of Service Sector Activity

September 27, 2022

Fifth District service sector activity improved modestly in September, according to the most recent survey by the Federal Reserve Bank of Richmond. The revenues and demand indexes increased notably to 0 and 5, after being negative in July and August. Furthermore, optimism that revenues and demand will improve over the next six months continued to increase in September, with both expectations indexes moving further into positive territory. The indexes for capital and equipment & software expenditures edged up slightly, while the index for services expenditures decreased mildly.

Firms' assessments of local business conditions continued to improve from August, with a reading of −2 in September. Moreover, firms were less pessimistic about future business conditions, as the expected business conditions index rose to −9 from −18, a dramatic improvement from −31 in July.

A slightly larger share of firms reported increased hiring in September, but their ability to find workers with the necessary skills deteriorated. Firms were split on the issue of labor availability over the next six months and expect elevated wages to persist. On the other hand, growth in prices paid and prices received decreased in September.

Read Full Report
Download Current and Historical Data

Past Reports

Subscribe to Regional Research

Receive an email notification when regional surveys and reports are posted online:

Subscribe to Regional Research

Phone Icon Contact Us

Regional Survey Team (571) 287-0448