Kansas City Fed Gauge Steady as Manufacturing Stabilizes

Manufacturing conditions in the Federal Reserve’s Tenth District remained subdued in August, with the Kansas City Fed’s Composite Index steady at 1—matching both market expectations and July’s reading. The underlying Manufacturing Index improved to 0 from –3 a month earlier, signaling activity has stabilized after three consecutive negative prints. Separately, the latest Pending Home Sales Index slipped to 71.7 from 72.0, hinting at ongoing weakness in the housing market as higher borrowing costs continue to weigh on demand. Together, the mixed indicators underscore an uneven economic backdrop ahead of the Federal Reserve’s next policy meeting.