by Calculated Risk on 11/28/2017 10:03:00 AM
Tuesday, November 28, 2017
From the Richmond Fed: Fifth District Manufacturing Activity Saw Robust Growth in November
Manufacturing firms reported robust growth in November, according to the latest survey by the Federal Reserve Bank of Richmond. The composite index jumped from 12 to 30, the highest it has been since 1993. This rise was bolstered by strengthening conditions across all three components of the index. While indicators of current wages and finished goods fell in November, both maintained positive values, dropping from 24 to 21 and 14 to 9, respectively.This was the last of the regional Fed surveys for November.
District manufacturing firms remained optimistic that growth will continue in the coming six months. But a smaller share of firms raised their expectations than had in October in all areas, except for wages and capital expenditures.
Here is a graph comparing the regional Fed surveys and the ISM manufacturing index:
Click on graph for larger image.
The New York and Philly Fed surveys are averaged together (yellow, through November), and five Fed surveys are averaged (blue, through November) including New York, Philly, Richmond, Dallas and Kansas City. The Institute for Supply Management (ISM) PMI (red) is through October (right axis).
Based on these regional surveys, it seems likely the ISM manufacturing index will be strong again in November (to be released Friday, Dec 1st).
Posted by Calculated Risk on 11/28/2017 10:03:00 AM