The Texas Service Sector Revenue Index rose 2.3 pts to 8.6 in August, indicating a slightly faster pace of expansion in statewide service activity.

• Employment eased to 1.2 (from 2.8), signaling little change, while part-time employment improved to -2.7 (from -3.8) and hours worked increased to 5.1 (from 3.2).

• General Business Activity strengthened to 6.8 (from 2.0), and the Company Outlook turned positive at 4.3 (from -2.1), its first positive reading in six months.

• Outlook Uncertainty declined to 11.2 (from 12.8), suggesting somewhat firmer sentiment.

• Input Prices rose to 27.9 (from 25.3) and Wages & Benefits increased to 15.7 (from 13.4), while Selling Prices held steady at 2.7 (vs 3.3).

• Future Revenue expectations improved to 33.8 (from 30.8), with other forward-looking indicators—including employment and capex—remaining in positive territory

The Texas Retail Sales Index fell 3 pts to -2.1 in August, signaling a renewed contraction in statewide retail activity, while broader business sentiment turned modestly positive.

• Retail inventories declined for the seventh straight month, with the index at -2.7, indicating persistent stock drawdowns.

• Employment weakened to -2.0 (from -0.8), part-time employment dropped sharply to -15.5, and hours worked fell to -3.6.

• General Business Activity improved to 1.9 (from -4.0), and the Company Outlook stabilized at 0.7, while Outlook Uncertainty eased to 8.2 (from 16.3).

• Input Prices fell to 22.4 (from 31.6), Selling Prices declined to 4.1 (from 9.0), and Wages & Benefits eased to 11.5 (from 14.4), pointing to softer cost pressures.

• Future sales expectations held at 29.6, while overall activity and employment outlooks remained positive, suggesting continued moderate growth ahead.