By Steve Goldstein, MarketWatch
WASHINGTON (MarketWatch) — Manufacturing activity bounced back in the Philadelphia region in December, according to a closely followed survey released Thursday showing a surprising bounce at the end of the year.
The Philadelphia Fed index improved to a reading of positive 8.1 in December from -10.7 in November, well above the negative 4.0 reading expected in a MarketWatch-compiled consensus forecast.
That’s the best reading since April and came as new-orders index increased 15 points and the current shipments index jumped 25 points.
The current employment index registered its first positive reading in six months, at 3.6.
The Philadelphia area was one of the regions impacted by Hurricane Sandy, so the rebound could simply be due to factories restoring output after a difficult November.
A similar gauge of the New York area was negative in December, making it difficult to discern a trend in the bellwether sector. Read story on Empire State survey.
To make matters more confusing, a national index of manufacturing sentiment produced by Markit reached an eight-month high in December.
The Philly Fed data caps a wave of economic statistics released Thursday, that broadly showed a booming housing market, a slowly improving labor market, and moderate consumer spending.
The National Association of Realtors reported sales of existing homes hit a three-year high in November. See story on existing homes.
The Commerce Department reported that third-quarter growth was revised higher to 3.1%. Read more on GDP data.
The Labor Department reported an increase in weekly jobless claims. Read more on initial claims.
Steve Goldstein is MarketWatch's Washington bureau chief. Follow him on Twitter @MKTWgoldstein.
