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Philly Fed manufacturing index tumbles to minus 12.5 in February

Published 02/21/2013, 10:03 AM
EUR/USD
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Investing.com - Manufacturing activity in the Philadelphia-region shrank unexpectedly in February, contracting at the fastest rate since July, official data showed on Thursday.

In a report, the Federal Reserve Bank of Philadelphia said that its manufacturing index fell to minus 12.5 in February from January’s reading of minus 5.8.

Analysts had expected the index to improve to a reading of 1.0 in February.

On the index, a reading above 0.0 indicates improving conditions, below indicates worsening conditions.

The new orders index declined from a reading of minus 4.3 in January to minus 7.8 in February.

Despite negative readings for general activity and new orders, the shipments index showed improvement.

The employment index increased from minus 5.2 in January to 0.9 this month, its first positive reading in eight months

Following the release of the data, the U.S. dollar held on to gains against the euro, with EUR/USD shedding 0.66% to trade at 1.3196.

Meanwhile, U.S. equity markets were lower after the open. The Dow Jones Industrial Average fell 0.4%, the S&P 500 index declined 0.6%, while the Nasdaq Composite index lost 0.7%.  

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