KC Fed manufacturing index -8 vs -2 prior

<ul><li>Prior was -2</li><li>Production -13</li><li>New orders -14</li><li>Prices paid +2</li></ul><p>Selected comments:</p><ul><li>“Inflation (cost of inputs – mostly material costs) is still a significant concern. If energy costs continue to climb
it will become more of a challenge. Access to labor is better across all shifts, but quality of applicant is still low.
Concerned about macro-level economic conditions; consumer appears to be tapped out.</li><li>
“Maintenance remains strong. Discretionary spending has been reduced, which could be caused by the need to
keep the aircraft flying.”
</li><li>“Currently debt free but have access to line of credit if necessary.”
</li><li>“Material prices continue to fall. Gasoline is our biggest inflation problem.”
</li><li>“Business softening suddenly this month.”
</li><li>“Business has been fairly regular.”
</li><li>“Too many unknowns currently making capital expenditures a little more risky. In addition, the cost of
financing is high.”</li></ul>

This article was written by Adam Button at www.forexlive.com.