Someone tell me WTF they are crowing about. IMO these numbers reeked.
phil.frb.org
February 2004
Activity in the region's manufacturing sector continues to expand, according to firms surveyed for this month's Business Outlook Survey. Although indicators for general activity, new orders, and shipments fell from their January readings, they remain at relatively high levels. For the fifth consecutive month more firms reported increases in employment than reported declines, and a larger percentage of firms reported higher average work hours this month. Firms reported an increase in input prices again this month and some upward pressure on prices of their own manufactured goods. Expectations for overall growth over the next six months remain very positive, and about one-third of the firms expect employment to increase.
Growth Continues but Some Indicators Fall Back
The diffusion index of current general activity, the survey's broadest measure of manufacturing conditions, decreased from 38.8 in January to 31.4 and has now been positive for nine consecutive months (see chart). Although some current indicators fell this month, they continue to reflect solid growth in the region's manufacturing sector.
The new orders index fell nearly 9 points, and the shipments index fell almost 14 points.
Manufacturing employment at the firms in our survey has improved recently. Although the current employment index fell this month, the continued positive reading suggests that labor market conditions have stabilized, especially in the last three months. Notably, the average workweek diffusion index increased nearly 11 points, to its highest reading in the history of the series.
Manufacturers Are Still Optimistic |
