NEW YORK – The region's manufacturing sector expanded, as the general business conditions index increased to 20.4 in December from 16.7 in November, this month’s Federal Reserve Bank of Philadelphia Report on Business indicates.
Economists surveyed by Thomson Reuters predicted a reading of 16.0 for the index.
“Indexes for general activity, new orders, and shipments all remained positive this month. Indicative of improvement, the overall level of employment and average work hours among reporting firms increased this month. Overall, expectations moderated somewhat in December, although the forecast for employment improved slightly,” according to the survey.
The prices paid index was 33.8, compared to 14.9 in November, new orders index fell to 6.5 from 14.8, shipments dipped to 15.3 from 15.7, the unfilled orders index gained to zero from negative 5.4, the delivery times index reversed to positive 6.2 from negative 12.7, inventories climbed to negative 7.4 from negative 17.3, prices received slipped to negative 1.8 from negative 1.5, the number of employees index increased to positive 6.3 from negative 0.5, and average employee workweek climbed to 6.4 from 2.0.
The six months from now general business conditions index dropped to 24.4 from 36.8 in last month’s survey, the prices paid index was at 28.2, down from 30.8 in the prior survey, and the prices received index was at 17.6, up from 1.2. The capital expenditures index slid to 12.1 from 13.8 last month. The number of employees index rose to 13.8 from 8.3, while the average workweek index grew to 13.8 from 9.9. The new orders index slumped to 20.6 from 35.7; shipments fell to 22.7 from 29.2; and the unfilled orders index doubled to 4.2 from 2.1. The delivery times index widened to negative 8.7 from negative 7.9, and inventories fell to negative 3.8 from positive 5.9.
