Kansas City Fed Manufacturing Survey Hear it!

Kansas City Fed Manufacturing Survey Finance Definition

A survey of 300 manufacturing firms located in the 10th Federal Reserve District, which includes Colorado, Kansas, Nebraska, Oklahoma, Wyoming, western Missouri, and northern New Mexico, that gives data about manufacturing trends. The survey is a good indicator of current manufacturing conditions and near-term expectations. It is particularly helpful in providing an early indication of price changes and ordering patterns. Index values greater than zero generally suggest expansion, while values less than zero indicate contraction.

This survey typically has little impact in the financial markets, but it can be useful to either confirm or discredit trends seen in the monthly ISM Index. The Kansas City Fed Manufacturing Survey particularly has a stronger role when the Federal Reserve Board is focusing on manufacturing as an important variable to gauge economic strength.

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