US: Philadelphia Fed Manufacturing Index fell to 15.4 in December vs. 30.0 expected

The Philly Fed Manufacturing Index fell to 15.4 in December, below expected.
FX markets did not react, with attention on central banks.

Joel Frank Independent Analyst

According to a report from the Federal Reserve Bank of Philadelphia released on Thursday, the headline Manufacturing Activity Index of the Manufacturing Business Outlook Survey fell to 15.4 in December from 39.0 in November. That was a much bigger drop than the expected decline to 30.0.

Additional Takeaways from the Business Outlook Survey:

"The current shipments index decreased 17 points, to 15.3, in December."

"The index for new orders fell 34 points to a reading of 13.7 after two consecutive months of increases."

"On balance, the firms continued to report increases in employment, and the employment index rose from 27.2 in November to 33.9 this month."

"The indicators for prices paid and prices received remained elevated but posted declines this month. The prices paid index declined 14 points to 66.1 (see Chart 2). The percentage of firms reporting increases in input prices (68 percent) far exceeded the percentage reporting decreases (2 percent)."

Market Reaction

US data went under the radar on Thursday with central banks stealing the limelight.

Author

Joel Frank

Independent Analyst

Joel Frank is an economics graduate from the University of Birmingham and has worked as a full-time financial market analyst since 2018, specialising in the coverage of how developments in the global economy impact financial asset

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