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June Mid-Atlantic Manufacturing Activity Eases More Than Expected

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June Mid-Atlantic Manufacturing Activity Eases More Than Expected

Manufacturing activity in the US Mid-Atlantic region fell more than projected in June, with shipments, new orders and employment all weakening sequentially, data from the Federal Reserve Bank of Richmond showed Tuesday.

The composite manufacturing index decreased to 4 this month from 13 in May. The consensus was for a smaller drop to 8 in a survey compiled by Bloomberg.

"Fifth District manufacturing activity was flat in June," the Richmond Fed said.

The shipments index decreased to 3 this month from 16 in May, while the new orders index fell to 9 from 17. The employment index swung to minus 1 from 3, while the prices paid and received measures advanced, according to the report.

"The average growth rate of prices paid increased notably, while growth in prices received increased somewhat in June," the regional Fed said.

Six months out, the shipments index increased to 38 this month from 35 in May, while the new orders gauge fell to 32 from 36. The expectations index for employment dropped to 16 from 23, the data showed.

"Firms expected growth in prices paid to moderate over the next 12 months," the Fed branch said.

Separately, a report by S&P Global (SPGI) showed Tuesday that US private-sector output rose in June at the fastest pace in five months amid a solid expansion in the manufacturing sector.

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