Report shows big slowdown in manufacturing
A monthly survey of firms by the Philadelphia Federal Reserve on Thursday indicated a sharp drop in regional manufacturing activity, contributing to record low yields on U.S. Treasury bonds and further stoking fears of another recession.
Manufacturing, shipping and new orders all declined sharply from the previous month.
The index receded from a slightly positive reading of 3.2 to -30.7. Demand for manufactured goods as represented by new orders fell 27 points. The current shipment index fell 18 points and recorded its first negative reading since September 2010. Indexes for inventories, unfilled orders and delivery times were all in negative territory this month, indicating weakened activity, the regional bank said.
The index for confidence in business growth six months ahead fell 22 points but still showed more companies than not held out hope for growth.
Report shows big slowdown in manufacturing
