After reporting contractions in Philadelphia-area manufacturing activity in the two previous months, the Federal Reserve Bank of Philadelphia released a report on Thursday showing regional manufacturing activity unexpectedly returned to growth in the month of August.
The Philly Fed said its diffusion index for current activity jumped to a positive 6.2 in August from a negative 12.3 in July, with a positive reading indicating growth. Economists had expected the index to rebound to a negative 5.0.
Looking ahead, the Philly Fed said the survey's future indexes rose slightly but continue to suggest that firms expect overall declines six months from now.
