08:43 AM EDT, 05/21/2024 (MT Newswires) -- (Corrects headline to say index rises)

The Philadelphia Federal Reserve Bank's monthly nonmanufacturing activity index sharply increased to minus 0.6 in May from minus 12.4 in the previous month, indicating a much slower pace of contraction in the sector.

The readings for new orders, prices paid, and employment all fell in the month, while the sales index increased.

The six-month outlooks at both the regional and firm levels decreased but remained positive, with 28.1% of respondents expecting expansion in the region over the next six months compared with 22% that expect contraction.