Philly Fed Index Unexpectedly Shows Sharp Jump In July

(RTTNews) - Firms responding to the Philadelphia Federal Reserve's Business Outlook Survey indicated continued expansion in the region's manufacturing sector in July, with the index of activity in the sector jumping to its highest level in over three years.

A report released by the Philly Fed on Thursday showed that its diffusion index of current general activity jumped to 23.9 in July from 17.8 in June. A positive reading indicates growth in regional manufacturing activity.

The sharp jump by the Philly Fed index came as a surprise to economists, who had expected the index to drop to a reading of 16.0.