Calculated Risk: Philly Fed Manufacturing Survey Shows Slower Expansion in April

Más signos de parada en la economía mundial, esta vez en EEUU

Manufacturers responding to the Business Outlook Survey reported near steady business activity in April. The indicator for overall activity remained slightly positive this month, but other broad indicators were mixed. Indicators for new orders and employment were weaker this month. The survey’s broad indicators of future activity suggest that firms expect continued growth, but optimism waned compared with last month.

The survey’s broadest measure of manufacturing conditions, the diffusion index of current activity, was 1.3, just slightly lower than the reading of 2.0 in March … The demand for manufactured goods remained weak, with the current new orders index declining from 0.5 to -1.0.

Labor market conditions showed continued signs of weakness, with indexes suggesting lower employment overall. The employment index decreased from 2.7 in March to -6.8 this month, its first negative reading in three months.

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