Philly Fed January business index -10.6 vs -7.0 expected

<p>Philly Fed business index</p><ul><li><a href="https://www.forexlive.com/news/philadelphia-fed-business-index-for-december-105-vs-30-estimate-20231221/" target="_blank" rel="follow">Prior </a>-10.5</li><li>Employment -1.8 vs -1.7 prior</li><li>New orders -17.9 vs -25.6 prior</li><li>Prices paid +11.3 vs +25.1 prior</li><li>Prices received +6.3 vs +13.6 last month</li><li>Shipments -6.2 vs -10.8 last month</li><li>Unfilled orders -18.5 vs -7.9 last month</li><li>Delivery times -27.6 vs -16.8 last month</li><li>Inventories -14.6 vs -4.2 last month</li><li>Avg employee workweek -0.9 vs -5.0 last month</li></ul><p>For the 6-month index:</p><ul><li>Six month index -4.0 vs +12.1 last month</li><li>Employment: +1.1 vs 1.4 last month</li><li>New orders: +9.7 vs 20.2 last month</li><li>Shipments: +5.5 vs 21.5 last month</li><li>Prices paid: +34.4 vs 19.9 last month</li><li>Prices received: +20.7 vs 28.6 last month</li></ul><p>This is slightly below expected but it should give the market a sigh of relief after a dreadful <a href="https://www.forexlive.com/news/us-empire-manufacturing-index-for-january-437-versus-50-estimate-20240116/" target="_blank" rel="follow">Empire Fed survey</a> on Monday. The drop in the prices paid component is also a good sign on inflation, though the future prices paid index rose. There is some weakening here but there's no cliff.</p><p>The Fed will like the drop in wage growth expectations in the Philly Fed.</p>

This article was written by Adam Button at www.forexlive.com.