Note the pencil marking "Removed" at the top. An article in the Aux Markings Club newsletter (page 9) shows various handstamps for "removed", "removed - present address unknown", "removed - left no address", "moved, left no address", etc.
https://www.postal-markings.org/amc...-issue71.pdfAdding to the timeline that littleriverphil suggested:
May 13 - letter arrived in Philadelphia,
Possibly carrier took it out for delivery or perhaps the central PO already knew the addressee had left the address
May 18 Post Office places a notice in the local paper (advertises) "Hey, we have a letter for Mrs. Grove, does anyone know where she went?"
June 18 No response within 30 days, return to sender. Oops, there is no return address, send to Dead Letter Office.
Edit: adding images of similar 'Phila. Post Office" markings but with "DEAD" at the top, from 1865 and 1870s. Not sure if yours from 1886 is a modified marking to remove the word DEAD. Maybe customers thought this meant the addressee was dead, not that the letter came from the Dead Letter Office. Just hypothesizing.
First is 1865 from a Rumsey sale (83-42), the second from a current Phil Bansner offering.

