Manufacturing Growth Slows in October

Source: Philadelphia Fed

Manufacturing continued to expand in October, albeit at a slower pace, as more firms reported increases in general activity during the month.

• The diffusion index for current general activity slipped 7 points to 23.8 in October, from 30.7 the previous month.
• Over 40% of the firms said they experienced higher general activity for the month, while 17% reported declines.
• Current shipments were essentially unchanged, while new orders increased by 15 points as nearly half of firms saw increases in new orders.
• Firms continued to report increases in employment, with the index up to 30.7 from 26.3 the previous month.
• The majority of the firms reported steady employment levels, 31% recorded increases, and 1% reported decreases.
• The diffusion index for future general activity jumped 4 points to 24.2, with 47% of the firms expecting growth in the next six months.