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A Modest Beat For Philly Mfg But Forward-Looking Particularly Strong

US DATA
  • The Philly Fed manufacturing index fared better than expected in March, only dipping to +3.2 (cons -2.5) as it consolidated February’s 16pt increase to +5.2.
  • Of note, new orders lifted from -5.2 to +5.4 (highest since Aug’23) and shipments inched higher from +10.7 to +11.4 (highest since Aug’22), whilst there was moderation in prices paid (16.6 to 3.7) and prices received (6.2 to 4.6).
  • The six-months ahead measure meanwhile jumped 31.4pts to 38.6, the largest single month increase since at least 2000 to leave it at its highest level since Jul’21.
  • “The future new orders index climbed 26 points to 49.9, and the future shipments index rose 17 points to 43.6. On balance, the firms expect an increase in employment over the next six months [and] the index for future capital expenditures rose 11 points to 23.6, its highest reading since March 2022.
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  • The Philly Fed manufacturing index fared better than expected in March, only dipping to +3.2 (cons -2.5) as it consolidated February’s 16pt increase to +5.2.
  • Of note, new orders lifted from -5.2 to +5.4 (highest since Aug’23) and shipments inched higher from +10.7 to +11.4 (highest since Aug’22), whilst there was moderation in prices paid (16.6 to 3.7) and prices received (6.2 to 4.6).
  • The six-months ahead measure meanwhile jumped 31.4pts to 38.6, the largest single month increase since at least 2000 to leave it at its highest level since Jul’21.
  • “The future new orders index climbed 26 points to 49.9, and the future shipments index rose 17 points to 43.6. On balance, the firms expect an increase in employment over the next six months [and] the index for future capital expenditures rose 11 points to 23.6, its highest reading since March 2022.