June Mid-Atlantic Manufacturing Activity Remains in Contraction, Philadelphia Fed Survey Shows

01:37 PM EDT, 06/20/2025 (MT Newswires) -- Manufacturing activity in the US Mid-Atlantic region remained in contraction territory in June, while the employment gauge reached its lowest level since May 2020, a survey from the Federal Reserve Bank of Philadelphia showed Friday.

The Manufacturing Business Outlook Survey's headline gauge for activity was at minus 4 this month, unchanged from May and reflecting "weak" activity in the region, the Fed branch said. The consensus was for a minus 1.5 reading in a survey compiled by Bloomberg.

The employment index swung to minus 9.8 in June from 16.5 last month. Some 20% of the firms reported decreases in employment levels, more than 10% reported increases, while 69% reported no change, according to the survey.

The metric charting new orders fell to 2.3 this month from 7.5 in May, while shipments swung to 8.3 from minus 13, its first positive reading since March. "Both price indexes moderated, but remain elevated," the Philadelphia Fed said.

Six months out, expectations for general activity decreased to 18.3 in June from last month's 47.2, with the survey's future indicators suggesting "less widespread" growth expectations, the regional Fed said.

The future new order and shipment components logged declines of about 28 and 23 points, respectively.

"Looking ahead over the next three months, most of the firms expect the impacts of various factors to stay the same," the Philadelphia Fed said. "However, one-third of the firms expect the impact of uncertainty to worsen over the next three months, and 26% expect supply chain impacts to worsen."

On Monday, a New York Fed survey showed that New York manufacturing contraction worsened in June amid weakness in new orders and shipments, though firms became positive regarding the outlook.

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