Mid-Atlantic Manufacturing Shows Signs Of Hope

According to CNNMoney, the index of the Federal Reserve Bank of Philadelphia’s Business Outlook Survey (covering eastern Pennsylvania, southern New Jersey and Delaware) improved to -12.7 from -16.3. The consensus of economists surveyed by Briefing.com was for a reading of -13.4. The numbers are based on a break even mark of zero. A negative reading indicates that manufacturing activity is contracting.

The poll indicated that two-thirds of manufacturing firms blame cost pressures as a major cause for the overall weakness, but they believe growth will return in the next six months. Future indicators of new orders and shipments increased, and more firms expected to add employees than expected to cut staff, according to the survey.

Sending goods overseas has become a stronger percentage of sales among the firms surveyed, with 51% of those polled saying exports have increased.