Kansas City Fed manufacturing index holds at 17, highest since April 2022

The Kansas City Fed's manufacturing index remained at 17 in August 2026, matching July and marking its highest reading since April 2022. The above-zero diffusion reading signals continued expansion across the Tenth District, which includes parts of Missouri, Nebraska, Kansas, Oklahoma, Wyoming, Colorado and northern New Mexico. Durable manufacturing growth slowed, while nondurable activity strengthened, led mainly by paper and printing manufacturing. Production and shipments continued to rise, new orders increased modestly and employment remained positive, although both employment indexes eased slightly. New export orders fell to -2. Forward-looking measures for orders and capital spending remained positive, suggesting cautious optimism despite higher borrowing costs, shifting demand, input-cost concerns and supply-chain pressures. The result adds to evidence of resilience in regional manufacturing, even as national activity has been more volatile.

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