Manufacturing Keeps Improving in the US in October - Forex News by FX Leaders

Manufacturing Keeps Improving in the US in October

Posted Friday, October 16, 2020 by
Skerdian Meta • 1 min read

While the economic rebound in Europe has slowed considerably and certain areas, like inflation and services, have turned negative again as coronavirus restrictions increase, the US economy is running pretty well. It is keeping pace with the rebound, and manufacturing is improving, as today’s report shows.

US Philadelphia-area manufacturing survey

  • October Philly Fed Manufacturing Index 32.3 points  vs 14.8 expected
  • September Manufacturing Index was 15.0 points

Details:

  • New orders October +42.6 points vs +25.5 in September
  • Employment +12.7 points vs +15.7 in September
  • Prices paid +28.5 points vs +25.1 in September
  • Future index 62.7 points vs 56.6 in September
This is a massive beat, showing that manufacturing activity in Philadelphia has surged this month.

US October Empire State Fed Manufacturing Index

  • Empire Fed October Manufacturing Index was +10.5 points vs +14.0 expected
  • September Manufacturing Index was +17.0 points
Details:
  • Manufacturing index 17.0 vs. 3.7 last month
  • New orders index 12.3 vs. 7.1 last month
  • Shipments 17.8 vs. 14.1 last month
  • Number of employees 7.2 vs. 2.6 last month
  • Average workweek 16.1 vs. 6.7 last month
  • Unfilled orders -6.6 vs. -9.4 last month
  • Prices paid 27.8 vs. 25.2 last month
  • Prices received 5.3 vs. 6.5 last month
  • Inventories -14.6 vs. -3.6 last month
This is a solid report, even if the headline is a bit softer than expectations. Inventories are at their lowest since 2017, which is usually a positive sign, as they are rebuilt in the coming months, leading to higher manufacturing orders.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Skerdian Meta // Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
Related Articles
Comments

Leave a Reply

avatar
  Subscribe  
Notify of