Philadelphia Manufacturing Contracts in May

Philadelphia, PA, May 17, 2012 —  Manufacturing activity contracted in the Philadelphia region in May, according to the monthly survey issued by the Federal Reserve Bank of Philadelphia.

The Philly Fed index fell to -5.8 from 8.5 in April, well below expectations. Economists had expected the index to increase to 10.0.

Readings below zero indicate that more companies are contracting instead of expanding.