By Connor Hart
Services activity in the middle of the U.S. increased modestly in April, and expectations for future activity are positive, according to a monthly survey by the Federal Reserve Bank of Kansas City released Friday.
The Tenth District Services Survey's composite index, a weighted average of indexes covering revenue, employment and inventory, was 3 in April, up from 0 in March and 2 in February. Readings above zero indicate expansion, while those below zero indicate contraction.
The Kansas City Fed said activity in tourism and restaurants continued to increase this month, while healthcare, education and real estate activity fell further.
Expectations for future services activity remains expansionary, the bank said, as firms' expectations for revenues and employment increased in April.
The Kansas City Fed's survey includes participants from such service industries as retail and wholesale trade, automobile dealers, real estate and restaurants. The survey provides information on current services activity in the Tenth District, which includes Colorado, Oklahoma, Wyoming, Nebraska, Kansas, the northern half of New Mexico and the western third of Missouri.
The bank's monthly manufacturing survey, released Thursday, showed that factory activity in the central U.S. contracted again in April as price pressures increased, likely reflecting the impact on industrial firms of the continuing tariff drama.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
April 25, 2025 11:19 ET (15:19 GMT)
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