Investing.com - Manufacturing activity in the Philadelphia-region in August expanded at the slowest pace in four months, underlining concerns over the U.S. economic outlook, official data showed on Thursday.
In a report, the Federal Reserve Bank of Philadelphia said that its manufacturing index fell 9.3 in August from July’s reading of 19.8.
Analysts had expected the index to decline to a reading of 15.0 in August.
On the index, a reading above 0.0 indicates improving conditions, below indicates worsening conditions.
Other current indicators suggest growth moderated this month. The demand for manufactured goods as measured by the current new orders index remained positive for the third consecutive month but fell 5 points to 5.3.
Labor market indicators showed only modest improvement this month. The current employment index, at 3.5, fell 4 points but has been slightly positive for two consecutive months.
The survey’s future indicators suggest continued optimism among the reporting manufacturers, although future indicators fell back from higher readings in July.
Following the release of the data, the U.S. dollar held on to gains against the euro, with EUR/USD shedding 0.18% to trade at 1.3233.
Meanwhile, U.S. equity markets were sharply lower after the open. The Dow Jones Industrial Average fell 1.3%, the S&P 500 index dropped 1.3%, while the Nasdaq Composite index tumbled 1.6%.
In a report, the Federal Reserve Bank of Philadelphia said that its manufacturing index fell 9.3 in August from July’s reading of 19.8.
Analysts had expected the index to decline to a reading of 15.0 in August.
On the index, a reading above 0.0 indicates improving conditions, below indicates worsening conditions.
Other current indicators suggest growth moderated this month. The demand for manufactured goods as measured by the current new orders index remained positive for the third consecutive month but fell 5 points to 5.3.
Labor market indicators showed only modest improvement this month. The current employment index, at 3.5, fell 4 points but has been slightly positive for two consecutive months.
The survey’s future indicators suggest continued optimism among the reporting manufacturers, although future indicators fell back from higher readings in July.
Following the release of the data, the U.S. dollar held on to gains against the euro, with EUR/USD shedding 0.18% to trade at 1.3233.
Meanwhile, U.S. equity markets were sharply lower after the open. The Dow Jones Industrial Average fell 1.3%, the S&P 500 index dropped 1.3%, while the Nasdaq Composite index tumbled 1.6%.