Philly Fed: Diverging from Payrolls?

This morning’s Philly Fed survey printed another terrible employment figure.  History, non-farm payrolls and the Philly Fed data tend to track eachother pretty closely.  The latest figure of -10.7 on the Philly Fed would put payrolls deep in the contraction range.

It’s hard to data mine too much from correlations like this because the Philly data is volatile, but it gives us a pretty good idea of the general weakness of the economy and the strong likelihood that employment reports are unlikely to boom any time soon….