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For immediate release: February 26, 2007

Factory Activity Continues to Rebound in February

DALLAS—Manufacturing continued to strengthen in February and the outlook for future business activity is highly favorable, according to the Federal Reserve Bank of Dallas’ Texas Manufacturing Outlook Survey.

The production index increased to 18.1 in February, compared with 13.8 in January.

There were sharp increases in several indexes—including general business activity, capacity utilization, volume of new orders and number of employees.

“The strength in the survey bodes well for manufacturing in the state and nation,” said Dallas Fed economist Fiona Sigalla.

The index for general business activity six months from now rose to 39.4, the highest it has been since March 2005. Additionally, most forward-looking indicators rose from January to February.

The Dallas Fed conducts the survey monthly to obtain a timely assessment of factory activity.

Texas produces more than 8 percent of the total manufactured goods in the United States. Texas ranks second behind California in factory production and first as an exporter of manufactured products.

The Dallas Fed’s Texas Manufacturing Outlook Survey can be found at A detailed article about the survey can be found in the latest edition of Southwest Economy.


Media contact:
James Hoard
Phone: (214) 922-5307