Texas Service Sector Hits Snag as Revenue Growth Stalls

The Texas service sector has hit a snag in September, according to the Federal Reserve Bank of Dallas survey released Tuesday. The revenue index fell from 6.6 in August to minus 0.9, indicating that activity was essentially unchanged from the previous month.

Despite this stall, hiring improved, with the employment index rising to 4.1 from 0.8. However, workweeks remained largely unchanged, as evidenced by the hours worked index falling to 0.1 from 5.7.

The survey also showed that executives' assessments of broader conditions weakened. The general business activity index dropped to minus 1.8 from 4.2, and the company outlook index fell to minus 3.2 from 3.0.