Central Atlantic manufacturing on the rise

Manufacturing activity rose for the fifth consecutive month in the central Atlantic states, the Richmond, Va., Federal Reserve Bank said Tuesday.

New orders and employment improved with manufacturing noting their first increase in worker numbers since December 2007, the Richmond Fed said.

The data was mixed. The banks said capacity utilization grew modestly, while backlogs and vendor delivery times contracted. The pace of gains in inventory and prices slowed in September, the bank said.

Looking forward, in our latest survey, our contacts were slightly more optimistic about their business prospects during the next six months, the Fed said in a statement.

The projected employment picture was mixed, however. The expected employment index rose 6 points to 3, moving into positive territory. But the index on expected hours worked showed a decline, the Fed said.