Economy
Philadelphia Fed Index Shows Subdued Manufacturing Growth
Written by Sandy Williams
April 16, 2015
The Philadelphia Federal Reserve Manufacturing Business Outlook was stronger than expected in April. The index for current activity increased from 5.0 in March to 7.5, beating economist expectations of a reading of 6. The index has been in single digits so far this year indicating only modest growth.
The new orders index registered 0.7, a drop of 3 points from March indicating flat demand during the month. Shipments improved six points but were still in below the neutral reading for the second consecutive month.
Input prices were reported as unchanged by 77 percent of respondents but of the remaining 23 percent, 14 percent reported paying lower prices for raw material. Prices received were unchanged for 80 percent of respondents, with 11 percent reporting receiving lower prices
Employment levels improved compared to March with the index up 8 points to 11.5, its highest reading in five months.
Manufacturers were slightly more optimistic about future activity over the next six months. The index increased from 32.0 to 35.5 but was still well below sentiment expressed over the past year.
Manufacturers reported the stronger dollar having a slightly negative impact on business, with most of the negativity in relation to foreign sales and prices received for exports.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
Final Thoughts
We all know the American news cycle moves pretty fast. Viral today, cached tomorrow. So it is with the US presidential election on Tuesday, Nov. 5. People have election fatigue. They've moved on to other things like planning holiday parties, debating Super Bowl hopefuls, or even starting to look forward to our Tampa Steel Conference in February.
CRU: What will the US elections mean for economic policy?
In this Insight piece, CRU economists explore the possible economic effects of Trump's and Harris' agendas.
Architecture Billings Index remains dismal in September
Architecture firms continued to experience soft business conditions through September, according to the latest Architecture Billings Index (ABI) release by the American Institute of Architects (AIA) and Deltek.
Construction sector added 25,000 jobs in September
The construction sector added 25,000 jobs in September, driven by labor shortages and improved wages, according to data released by the US Bureau of Labor Statistics.
Beige Book paints bleak picture of US economic landscape
Growth in the US economy continues to crawl with little change in most districts. The Federal Reserve’s October Beige Book report showed three-quarters of reporting districts with flat or declining economic activity.