A survey of manufacturing in the Philadelphia region recovered by much more than expected in April, indicating the pace of contraction in the region could be slowing down.
The Philadelphia Federal Reserve Bank's manufacturing survey rose to -24.4 on Thursday, against forecasts for a -32.0 reading. In March, the survey was at -35.0.
"Most of the survey's broad indicators of future activity improved notably this month, suggesting that the region's manufacturing executives expect declines to bottom out over the next six months," the report read.
The employment index bounced off its all-time of -52.0 to -44.9.
The new orders index climbed to -24.3 from -40.7.
Shipments fell to -35.7 from -26.5. In February, that component was at its lowest reading since the survey began in 1968.
Prices paid declined to -31.5 from -31.3, while prices received fell to -41.4 from -32.6.
Inventories climbed to -40.2 from -55.6. Delivery times improved to -17.1 from -30.8, the report said.
The index predicting manufacturing activity six months from now climbed to 36.2 from 14.5.