Philly Fed: Manufacturing in region continues to contract
Manufacturers reported a fourth-straight month of business contraction in the Philadelphia region, the Federal Reserve Bank of Philadelphia said Thursday.
Manufacturers reported a fourth-straight month of business contraction in the Philadelphia region, the Federal Reserve Bank of Philadelphia said Thursday.
The bank's widely watched Business Outlook Survey for August showed weakness in overall business conditions among 85 responding firms in Southeastern Pennsylvania, South Jersey and Delaware.
Measures for general business activity and new orders remained negative for the fourth consecutive month, but both had increased slightly from July, the Philly Fed said.
Firms also reported slight overall declines in employment and shorter work hours this month.
Expectations of activity over the next six months, meanwhile, remained positive but "moderated" for the second consecutive month, the bank said.
The survey's key "diffusion index" of manufacturing activity increased six points, to minus 7.1. An index reading of zero is the divide between contraction and expansion.
Bloomberg News said economists forecast the gauge would climb to minus 5. - Reid Kanaley
