Manufacturing activity in the Federal Reserve Bank of Philadelphia’s region “continued to deteriorate” in November, as the general business conditions index decreased to negative 39.3 in November from negative 37.5 in October, this month’s Report on Business indicates.
Economists surveyed by IFR Markets predicted a reading of negative 35.0 for the index.
“Most broad indicators declined again in November, following sharp decreases in October,” the Fed said. “Input price pressures, which had been moderating over recent months, showed a marked decrease in November. Also, for the first time since 2003, more firms reported declines in the prices of their own manufactured goods than reported increases. Most of the survey’s indicators of future activity slid further into negative territory this month, suggesting that the region’s manufacturing executives expect continued declines over the next six months.”