Philly Fed Explodes To 33-Year Highs - A 10-Standard-Deviation Beat

Against expectations of a 18.0 print, February's Philly Fed exploded higher to 43.3 - the highest since January 1984. This is a 10-standard-deviation beat, led by a surge in new orders and the workweek, despite a decline in 'hope' and the number of employees.

Everything is Awesome America... especially in Philapdelphia?

The index for current manufacturing activity in the region increased from a reading of 23.6 in January to 43.3 this month and has remained positive for seven consecutive months.

The share of firms reporting growth continues to increase: More than 48 percent of the firms reported increases in activity this month compared with 40 percent last month. The index for current new orders increased 12 points this month (with 44 percent of the firms reporting increases and just 6 percent reporting decreases).

 

For context, that is a 10-sigma event...

 

But 'hope' declined...

 

And as the full breakdown shows, the number of employees declined, as did inventories and prices received.

Unfilled Orders, Delivery Times, Priced Paid were all largely unchanged.

Is this as good as it gets?

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