Philly Fed Manufacturing Index Misses Forecasts Amid Sharp New Orders Decline

Key Facts

The Philly Fed manufacturing index fell to +20.9 in October 2026, missing the consensus forecast of +28.4. According to reporting from investinglive.com, the new orders index dropped significantly to 4.3 from 29.2 in the previous month, signaling a cooling in regional factory momentum despite the index remaining in expansionary territory.

The Federal Reserve Bank of Philadelphia's survey showed declines in shipments and employment sub-indices alongside the headline miss. While firms continue to expect overall growth over the next six months, most future indicators declined in October, highlighting concerns about a deceleration in economic activity as demand for new orders weakens.