Philly Fed: Region continues slow recovery

Posted: September 26, 2013

The region's slow rise from the recession continued in August, with New Jersey and Delaware slightly outpacing Pennsylvania, according to the latest measure released Tuesday by the Federal Reserve Bank of Philadelphia.

The Fed's Coincident Index had economic activity improving 0.1 percent in Pennsylvania, 0.4 percent in New Jersey, and 0.2 percent in Delaware.

The Coincident Index looks at four indicators that, taken together, trend in tandem with a region's gross domestic product.

The index takes into account nonfarm payroll employment, average manufacturing hours worked, the unemployment rate, and wage and salaries adjusted for inflation.

The current index looks at all 50 states. It found that throughout August economic activity improved in 40 states, decreased in five and remained stable in five.

While an overall improvement, it suggested the economy's positive momentum was slowing slightly when compared with the last three months, when 42 states showed improving economic activity.

Closer to home, it was a little more of a mixed bag.

Pennsylvania's 0.1 percent improvement in August was down from a 0.2 percent rise in July while New Jersey and Delaware saw slightly better numbers in August than July.

Looking under the hood, Pennsylvania showed improvement in total payroll employment and manufacturing hours worked, but these were offset by an increase in the unemployment rate.

New Jersey's benefitted from a drop in the unemployment rate that outstripped a flat payroll employment figure and declining manufacturing hours.

In Delaware, payroll employment remain stable, the unemployment rate dropped, and manufacturing hours increased.


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