The general business activity index, as reported by the Federal Reserve Bank of Dallas, experienced an uptick in January 2026, climbing to 2.7 from a previously revised -5 in December. This marks the first positive shift in business activity since August. The revenue index saw a notable increase, reaching 7.8, rebounding from a stagnation experienced at the close of the previous year. Employment levels also showed signs of recovery, moving from -1.1 in December 2025 to 0.9.
In terms of pricing, although input costs continued to rise sharply, the rate of increase decelerated compared to the preceding month, reducing from 27.1 to 21.1. As a result, businesses have moderated the growth rate of their selling prices, which adjusted slightly down to 7.9 from 8.2. Looking towards the future, companies have expressed a more optimistic outlook on prospective business conditions, improving from -2.7 to 5.6.
