Dallas Fed: Texas Service Sector Expands in April, Business Conditions Improve
For immediate release: April 29, 2014
DALLAS—Texas service sector activity climbed again in April, according to the Federal Reserve Bank of Dallas’ Texas Service Sector Outlook Survey.
The TSSOS revenue index—a key measure of state service sector conditions—rose slightly from 16.5 to 18.5.
The survey is conducted monthly by the Dallas Fed to obtain a timely assessment of activity in the state’s service sector, which represents almost 70 percent of the state economy and employs close to 7.6 million workers.
Positive readings in the survey generally indicate expansion of service sector activity, while readings below zero generally indicate contraction.
Labor market indicators improved in April. The employment index moved further into positive territory, indicating employment rose at a faster pace than in March. The hours worked index held steady in positive territory, suggesting longer workweeks.
Perceptions of broader economic conditions reflected more optimism in April. The general business activity index edged up from 10.1 in March to 11.3 in April.
Indexes of future service sector activity reflected slightly less optimism this month.
TSSOS also includes a component called the Texas Retail Outlook Survey, which uses information from respondents in the retail and wholesale sectors only.
Retail sales increased for the tenth consecutive month in April, according to business executives responding to the Texas Retail Outlook Survey. The sales index rose from 15.6 in March to 18.3 in April, indicating sales grew at a stronger pace this month.
Indexes of future retail sector activity remained in solid positive territory this month.
Federal Reserve Bank of Dallas
Phone: (214) 922-5288