Philadelphia Factory Activity Accelerates, Tops Forecasts

2026-07-16 12:41 By Luisa Carvalho 1 min. read

The Philadelphia Fed Manufacturing Index climbed to 41.4 in July 2026 from 10.3 in June, largely beating market expectations of 13.

The latest data pointed to a continued recovery in business conditions, with activity expanding at the fastest pace since November 2021.

The current new orders index jumped 10 points to 37.0, its highest level since November 2021, while the shipments index climbed 19 points to 33.7, the strongest reading since April.

The employment index edged up 2 points to 10.0, its highest level since December, and the average workweek index surged 21 points to 14.0, reaching its highest reading since January 2025.

Meanwhile, both price indicators continued to signal rising prices, with the prices paid index edging up to 53.9 and the prices received index jumping 7 points to 27.4.

Firms maintained positive expectations for the next six months, even as most future indicators eased from elevated levels.



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Philadelphia Factory Activity Accelerates, Tops Forecasts
The Philadelphia Fed Manufacturing Index climbed to 41.4 in July 2026 from 10.3 in June, largely beating market expectations of 13. The latest data pointed to a continued recovery in business conditions, with activity expanding at the fastest pace since November 2021. The current new orders index jumped 10 points to 37.0, its highest level since November 2021, while the shipments index climbed 19 points to 33.7, the strongest reading since April. The employment index edged up 2 points to 10.0, its highest level since December, and the average workweek index surged 21 points to 14.0, reaching its highest reading since January 2025. Meanwhile, both price indicators continued to signal rising prices, with the prices paid index edging up to 53.9 and the prices received index jumping 7 points to 27.4. Firms maintained positive expectations for the next six months, even as most future indicators eased from elevated levels.
2026-07-16
Philadelphia Factory Activity Rebounds in June
The Philadelphia Fed Manufacturing Index improved to 10.3 in June 2026 from -0.4 in May, slightly above market expectations of 10, signaling a return to expansion in regional manufacturing activity. Around 32% of firms reported higher activity, compared with 22% reporting declines, while 45% saw no change. The current shipments index increased 10 points to 14.9, and the new orders index jumped 29 points to 27.3, indicating stronger demand conditions. Employment also improved, with the employment index rising 11 points to 7.9, its highest level since January, although most companies reported unchanged staffing levels. Price pressures remained elevated, with the prices paid index rising 5 points to 53.2, while the prices received index declined 6 points to 20.3, its lowest since February but still above historical averages. Firms remained optimistic, continuing to expect growth over the next six months.
2026-06-18
Philadelphia Factory Activity Disappoints
The Philadelphia Fed Manufacturing Index fell to -0.4 in May 2026 from 26.7 in the prior month and against market forecasts of 18. The reading pointed to a marginal contraction in regional manufacturing activity after a solid expansion in the month before. The shipments index declined 29 points to 4.9, and the new orders index fell 35 points to -1.7, its lowest reading since April 2025. The employment index improved by 2 points to -2.8 in May but remained in negative territory for the third time in four months, signaling continued job shedding. Both price indexes declined this month but remained above their long-run averages. The current prices paid index fell 11 points to 47.9 in May, while prices received index deceased 7 points to 26.3. Looking ahead, firms continued to anticipate overall growth in the coming six months, with most future indicators climbing from already elevated levels.
2026-05-21