The Philadelphia Fed’s June business outlook survey came in at 17.8.

Expectations were for a reading of 14.0, slightly lower than May’s 15.4 reading.

The report said current employment was higher among reporting firms this month and the survey’s indicators of future activity “improved notably.”

Among the report’s respondents, 73.9% expected an increase in the firm’s production during the second half of the year.

The prices paid index increased 12 points, and has now increased 24 points over the past two months.

From the report:

“The index has remained positive for four consecutive months and is at its highest reading since last September. The current new orders and shipments indexes also moved higher this month, increasing 6 points and 1 point, respectively. Indicators also suggest improved labour market conditions this month. The employment index remained positive for the 12th consecutive month and increased 4 points. The percentage of firms reporting increases in employment remained higher than the percentage reporting decreases. The workweek index was also positive for the fourth consecutive month and increased 4 points.”

This chart from the Philly Fed shows the index over the last twenty years.

More to come…

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