March Philly Fed +12.5 vs +8.5 expected

• Prior was +18.1

Details:

• 6 month index: 5.6 vs 27.8 last month
• Capex index 6-month forward: 13.4 vs 14.0 last month
• Employment: 19.7 vs 5.3 last month
• Prices paid: 48.3 vs 40.5 last month
• New orders: 8.7 vs 21.9 last month
• Shipments: 2.0 vs 26.3 last month
• Unfilled orders: 0.6 vs 1.4 last month
• Delivery time: 4.1 vs 12.4 last month
• Inventories: -5.7 vs -0.4 last month
• Average workweek: 8.7 vs 2.9 last month

The headline stabilized and employment rebounded but there was a sharp drop in new orders and the forward-looking index.

From the release:

Manufacturing activity in the region expanded overall but was less widespread, according to the firms responding to the March Manufacturing Business Outlook Survey. The survey’s indicators for current general activity, new orders, and shipments declined but remained positive. The employment index rose to a multiyear high. Both price indexes remain elevated. The survey’s future indicators suggest less widespread expectations for growth over the next six months