The Kansas City Federal Reserve bank said manufacturing in the district fell in April for the second month in a row, and it’s now at its lowest level since 2009, although producers’ expectations improved slightly from last month.
Manufacturers cited falling demand from oil and gas-related exploration companies, and falling exports as the rising value of the dollar make their goods less competitive overseas.
“Regional factories had their worst month in quite some time, as exports continued to drop and conditions worsened among producers of oil and gas-related goods,” said Fed economist Chad Wilkerson. “However, a positive development was a decline in supplier delivery times, which had been rising due to West Coast port disruptions.”
The bank’s district includes Kansas, Colorado, Nebraska, Oklahoma, Wyoming, the western third of Missouri and the northern half of New Mexico.