According to a report from the Federal Reserve Bank of Philadelphia released on Thursday, the headline Manufacturing Activity Index of the Manufacturing Business Outlook Survey rose sharply to 39.0 from 23.8 in November. That was much bigger than the expected rise to 24.0. 

The New Order subindex rose to 47.4 from 30.8, reaching its highest level since March 1973. The Price Paid subindex rose to 80.0 from 70.3, while the Employment subindex fell to 27.2 from 30.7.   

Market Reaction

The latest batch of US data has not had any discernible impact on FX markets and the DXY continues to trade within recent intra-day ranges in the 95.65-95.80 area. 

The strong manufacturing survey from the Philly Fed comes on the heels of an equally strong manufacturing survey released by the NY Fed earlier in the week. They both suggest that US November manufacturing PMI surveys should be strong.