Philly Fed index surprises to the upside in May
Manufacturing sector conditions in the US mid-Atlantic region perked up in May, according to the results of a key survey, although some of the details were a bit soft.
The Federal Reserve bank of Philadelphia's factory sector index rose from a reading of 8.5 for April to 16.6 in May (consensus: 10.0).
However, a gauge of new orders received by firms in the sector fell back, from 15.7 to 11.0.
The so-called Philly Fed index is closely watched by analysts as it has a tight correlation with other surveys of factory activity at the national level which are published with a slightly greater lag.
On a more positive note, the pace of shipments picked up, with the corresponding sub-index rising from 18.4 to 27.6, while another linked to staffing levels at companies rose from 14.7 to 18.2.
A sub-index linked to the prices paid by firms increased from 21.6 to 23.1.