The Philadelphia Federal Reserve Bank released its manufacturing index on Thursday. The index increased to 7.5 in April from 5.0 in March, exceeding expectations for a rise to 5.5.

A reading above zero indicates expansion.

The increase was driven by an improvement in labour market. The number of employees index was up to 11.5 in April from 3.5 last month.

Shipments index rose to -1.8 in April from -7.8 in March.

The new orders index decreased to 0.7 in April from 3.9 in March.

The prices paid index fell to -7.5 in April from -3.0 in March, while the prices received index were up to -4.1 from -6.4.

The diffusion index for future activity rose to 35.5 in April from 32.0 in March.

According to the report, the indicators of future activity continue to show that the manufacturing sector is expected to continue growing over the next six months.