Philadelphia-area manufacturing activity unexpectedly contracted at an accelerate rate in the month of February, according to a report released by the Federal Reserve Bank of Philadelphia on Thursday.
The Philly Fed said its diffusion index for current activity plunged to a negative 24.3 in February from a negative 8.9 in January, with a negative reading indicating a contraction. Economists had expected the index to inch up to a negative 7.4.
Looking ahead, the Philly Fed said most of the survey's future indicators were positive but low, suggesting tempered expectations for growth over the next six months.
