Richmond Fed Manufacturing Index drops to 15 in October vs 25 expected

"Fifth District manufacturing activity expanded moderately in October, according to the results from the most recent survey by the Federal Reserve Bank of Richmond," the Federal Reserve Bank of Richmond announced on Tuesday.

Key takeaways from the press release

• The composite index fell from 29 in September to 15 in August, as indexes for shipments and new orders dropped, while the third component, employment, rose.
  • However, survey respondents were optimistic, expecting to see positive growth across most measures in the coming months.
• Firms were unable to find workers with skills they needed, as the skills index dropped to an all-time low of −22.
  • Respondents expect this struggle to continue in the next six months.
• Both prices paid and prices received grew at an accelerated rate in October.