US DATA: Sept Philly Fed data incl new orders -11.3 vs -26.8,
employment +5.8 vs -5.2, prices paid 23.2. Text: “regional manufacturing
activity is continuing to contract, but declines are less widespread
than in August. The survey’s broad indicators for activity, shipments,
and new orders all remained negative for the second consecutive month.
Responding firms, however, indicated that employment was slightly higher
this month. The broadest indicator of future activity remained positive
and rebounded this month, suggesting that recent declines are not
expected to continue over the next six months. Indicators Suggest
Continuing Weakness The survey’s broadest measure of manufacturing
conditions, the diffusion index of current activity, increased from a
very low reading of -30.7 in August to -17.5 in September. The index has
been negative in three of the last four months (see Chart). The current
new orders index paralleled the general activity index, increasing 16
points and remaining negative. The current shipments index fell 9 pts.
Firms’ responses suggest a slight improvement in hiring this month
compared with August. The current employment index increased 11 points.”