The latest reading on regional manufacturing activity from the Philadelphia Federal Reserve beat expectations, coming in at 7.5.
Expectations are for the report to show a reading of 6, up from 5 in March, indicating continued expansion in economic activity in the region.
According to the Fed’s report:
Manufacturing activity in the region increased modestly in April, according to firms responding to this month’s Manufacturing Business Outlook Survey. Indicators for general activity and new orders were positive but remained at low readings. Firms reported overall declines in shipments this month, but employment and work hours increased at the reporting firms. Firms reported continued price reductions in April, with indicators for prices of inputs and the firms’ own products remaining negative. The survey’s indicators of future activity suggest a continuation of modest growth in the manufacturing sector over the next six months.
The report also showed that on balance, manufacturers are seeing a negative impact from the strong US dollar, but many companies saw the overall impact as muted.
More to come …