4/25/2023 – MetroIntelligence Economic Update by P. DUFFY

MetroIntelligence Economic Update by P. DUFFY

April U.S. economic output index rises at fastest pace since May 2022

The headline S&P Global Flash US PMI Composite Output Index registered 53.5 in April, up from 52.3 in March, to signal the quickest upturn in business activity since May 2022. The increase in output was the third in as many months. The faster rise in activity was broad-based, with service sector firms registering the sharper rate of growth. Where a rise in activity was noted, firms linked this to greater customer confidence and a stronger uptick in new orders. Some companies also noted that an improvement in their ability to hire staff had boosted output.


Beige book:  Modest softening in residential real estate in recent weeks

Overall economic activity was little changed in recent weeks. Nine Districts reported either no change or only a slight change in activity this period while three indicated modest growth. On balance, residential real estate sales and new construction activity softened modestly. Nonresidential construction was little changed while sales and leasing activity was generally flat to down. Lending volumes and loan demand generally declined across consumer and business loan types.


March employment situation summary:  State-level analysis

Nonfarm payroll employment increased in 36 states and the District of Columbia in March compared to the previous month, while 14 states lost jobs. Nationally, total nonfarm payroll employment increased by 236,000 in March, following a gain of 326,000 jobs in February.  On a month-over-month basis, employment data was strong in Texas, which added 28,600 jobs, followed by New York (+18,100), and Massachusetts (+16,300).