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US: Richmond Fed Manufacturing Index
| Actual | Previous | |
| Index | 0 | -10 |
Highlights
The Richmond Fed manufacturing composite index is up to 0 (zero) in March after minus 10 in February. It is the first non-negative reading since 3 in February 2025. In March, the index components are all higher. The sub-index for new orders (weighted at 40 percent) is up to 4 in March after minus 9 in February, shipments index (weighted 33 percent) is up to minus 2 after minus 13, and employment is up to minus 2 after minus 7. In particular, the increase in new orders is the first positive reading since 6 in March 2022.
The index for prices paid moderates to 6.11 in March after 6.52 in February and 7.06 in January. However, this may not fully reflect recent higher prices in crude oil. The index for prices received is up to 4.85 in March after 4.25 in February and suggests that manufacturers are passing on their higher costs.
Definition
This survey tracks business conditions in the Richmond Fed's manufacturing sector. The headline index is a composite of the new orders, shipments, and employment indexes.
Description
Investors need to monitor the economy closely because it usually dictates how various types of investments will perform. By tracking economic data such as the regional Fed surveys, investors will know what the economic backdrop is for the various markets. The stock market likes to see healthy economic growth because that translates to higher corporate profits. The bond market prefers more moderate growth so that it won't lead to inflation. These surveys give a detailed look at the manufacturing sector, how busy it is and where things are headed. Since manufacturing is a major sector of the economy, this report has a big influence on market behavior.