Philly Fed Rises, Despite Employment Index Slide; Outlook Has Biggest Drop In 6 Months

Following yesterday's paradoxical Empire Fed print which saw an increase despite two thirds of its subcomponents dropping, we get a Philly Fed number which came in better than consensus estimates of 9.0, printing at 10.2, compared to 7.3 previously. Here, unlike yesterday, at least the number made sense with New Order rising from 6.9 to 11.7, as well as shipments, unfilled orders, and delivery times. What did not increase was the Number of Employees which dropped from 11.6 to 1.1. But don't tell the BLS. Also don't tell the market that margins are now contracting even more, with Prices Paid rising by 6.9 points as prices received rose by 3.8. Last, and not least, the Six Months Outlook plunged from 49 to 33.3, the largest drop in 6 months. Is the hopium going away?

Full breakdown:

Big change in outlook: