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DATA SNAP: Philadelphia Area Factory Output Rises In November



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    Philadelphia Fed      Nov    Oct  ! Consensus           !
    Business Activity    16.7   11.5  ! Bus Index:    12.0  !
    Prices Paid          14.9   21.3  ! Actual              !
    Employment           -0.5   -6.8  ! Bus Index:    16.7  !
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   By Michael S. Derby
   Of DOW JONES NEWSWIRES

NEW YORK -(Dow Jones)- Mid-Atlantic manufacturers enjoyed another month of rising activity in November, as job losses moderated and prospects for the sector improved.

The Federal Reserve Bank of Philadelphia said Thursday that its business activity index moved to 16.7, from 11.5 in October and 14.1 in September. Readings over zero indicate expansion, and November's reading was over the 12.0 economists had expected to see.

The Philadelphia Fed report is a positive sign for the economy. The release is closely watched because it is one of the first major reports of activity in any given month, and its findings offer important signals about the state of national manufacturing activity.

"Activity in the region's manufacturing sector is picking up," the report said. "The region's manufacturing executives expect increasing activity over the next six months, although expectations have moderated somewhat in the last several months," it added.

The report's details were generally positive. The bank said its new orders index hit 14.8, from 6.2 in October, while the shipments index was 15.7, from 3.3 the prior month.

The hiring situation got less dire, with the employment index at -0.5, versus -6.8 in October. Meanwhile, inflation was mixed, with the November prices paid index at 14.9, from 21.3 the month before, while the prices received index hit - 1.5, from -4.3.

-By Michael S. Derby, Dow Jones Newswires; 212-416-2214; michael.derby@ dowjones.com


  (END) Dow Jones Newswires
  11-19-091028ET
  Copyright (c) 2009 Dow Jones & Company, Inc.

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