Bank Releases May’s Coincident Indexes
For immediate release
Contact: Marilyn Wimp, Manager of Media Relations, (215) 574-4197
The Federal Reserve Bank of Philadelphia today released the coincident indexes for May 2011. The coincident indexes combine four state-level indicators to summarize current economic conditions in a single statistic.
About the May Release
- In the past month, the indexes increased in 35 states, decreased in eight, and remained unchanged in seven for a one-month diffusion index of 54.
- Over the past three months, the indexes increased in 45 states, decreased in three (Alaska, Maine, and Mississippi), and remained unchanged in two (Alabama and Vermont) for a three-month diffusion index of 84.
- In May the coincident index for Pennsylvania increased 0.3 percent. The unemployment rate decreased. However, payroll employment and average hours worked in manufacturing fell. Overall, Pennsylvania’s economic activity as measured by the coincident index has risen 4.4 percent over the past 12 months.
- The coincident index for New Jersey rose 0.1 percent in May. Payroll employment stayed relatively flat, while the unemployment rate rose and average hours worked in manufacturing fell. New Jersey’s economic activity as measured by the coincident index has increased 1.0 percent over the past 12 months.
- In May the coincident index for Delaware increased 0.4 percent. Average hours worked in manufacturing rose, and the unemployment rate fell. On the other hand, payroll employment decreased slightly. Delaware’s economic activity as measured by the coincident index has risen 1.9 percent over the past 12 months.
About the Coincident Indexes
- The indicators are nonfarm payroll employment, average hours worked in manufacturing, the unemployment rate, and wage and salary disbursements deflated by the consumer price index.
- The Bank also issues leading indexes for the states. These indexes predict the six-month growth rate of the state’s coincident Indexes. The next release date for the leading indexes is Tuesday, June 28, 2011.
The Federal Reserve Bank of Philadelphia helps formulate and implement monetary policy, supervises banks and bank holding companies, and provides financial services to depository institutions and the federal government. It is one of the 12 regional Reserve Banks that, together with the Board of Governors in Washington, D.C., make up the Federal Reserve System. The Philadelphia Federal Reserve Bank serves eastern Pennsylvania, southern New Jersey, and Delaware.