 |
Regional
Economic Digest
|
| Regional Economic Update By Kendall McDaniel The Tenth District economy continued to grow moderately in the third quarter of 1996. The district's energy and farm sectors strengthened, manufacturing improved modestly, and construction activity slowed. The unemployment rate in the district was unchanged. Back to top Regional Economic Digest home Survey of
Tenth District Manufacturers Manufacturing activity in the Kansas City Federal Reserve District improved somewhat in October from a sluggish pace in July, according to a quarterly survey of manufacturers across the district. The survey takes a snapshot of manufacturing activity during the first month of each quarter by asking plant managers about a variety of manufacturing indicators. By most measures, manufacturing showed a modest expansion during October. The expansion occurred while manufacturers trimmed inventories of materials and finished goods. Raw materials prices rose at about the same number of plants in October as when the survey was last taken in July. Prices received for finished goods remained generally unchanged. Overall, manufacturing activity remained stronger than a year ago, and manufacturers were optimistic about the outlook for the next six months. Manufacturers also reported modest improvement in national business conditions. Back to top Regional Economic Digest home Survey of Agricultural Credit
Conditions Agricultural credit conditions in the Tenth Federal Reserve District improved during the third quarter of 1996, according to a survey of 350 agricultural bankers. Boosting the district farm economy were rising farmland values, profitable cattle prices, a big fall harvest, and strong farm loan demand. The positive outlook was tempered somewhat by falling grain prices and persistently weak farm loan repayments. Back to top Regional Economic Digest home Solid Performance at Tenth
District Banks Commercial banks in Tenth District states turned in another solid performance in the first half of 1996, showing only a few signs of weakness. Profitability improved from a level that was already high. Loan quality was strong and loans grew at a healthy pace. The only negatives were sluggish growth in deposits and declines in loan quality and loan growth from a year ago. Banks in district states once again outperformed banks in the rest of the nation in profitability and loan quality, while enjoying slightly faster loan growth. Back to top Regional Economic Digest home Economic Indicators |