Philly Fed Survey Shows Manufacturing Growth Cooling Faster Than Expected

Manufacturing activity growth in the Philadelphia area decelerated more sharply than expected in October, according to a survey from the Philly Fed.

The current-activity index fell to 20.9 from 37.8 in September. A reading above zero indicates expansion, but the figure came in well below the 32 that economists polled by The Wall Street Journal had expected.

The indexes for new orders and shipments both dropped but remained positive, according to a Wall Street Journal report carried by TradingView.

The prices paid index moved down five points to 43.2 in October. The prices received index rose nine points to 40.1, its highest reading since May 2025. Both indexes still point to overall price increases.

The employment index edged down three points to 9.1 but continues to indicate job gains. The survey covers manufacturers in the Philly Fed’s district, which includes Delaware and parts of eastern Pennsylvania and southern New Jersey.

The New York Fed’s Empire State manufacturing survey moved the other way, rising to 25.5 from 7.6. Both surveys remain at strong levels, according to Continuum Economics.