Philly Manufacturers Report Surprising Strength

Philadelphia, PA, Nov. 19, 2010 -- Manufacturing activity in the Philadelphia region rose to its highest level in nearly a year during November, the Federal Reserve Bank of Philadelphia said.

The Philly Fed’s business outlook survey reached 22.5, the highest reading since December 2009.

The gain surprised economists, who had expected a reading of 5.0.

In the November Philly Fed survey, the new orders index rose to 10.4 from negative 5.0. The unfilled orders index improved to 3.7 from negative 8.9.

The shipments index reached 16.8, up from 1.4. The employment index rose to 13.3 from 2.4.

Manufacturing firms in the area were more optimistic about the next six months. The expectations index rose to 49.0 from 41.0, the highest level in eight months.