Industrial Production and Capacity Utilization declined much more than expected 0.8%in October according to the Fed report. Economists at Econoday forecast a 0.4% decline.

Key Points

  • Industrial production fell 0.8 percent in October after declining 0.3 percent in September.
  • Manufacturing production decreased 0.6 percent in October. Much of this decline was due to a drop of 7.1 percent in the output of motor vehicles and parts that resulted from a strike at a major manufacturer of motor vehicles.
  • It's not all strike-related. Weakness was across the board. Business equipment was down .06% month-over-month and a whopping 2.5% year-over-year.
  • Construction is down for the third time in four months

Industrial Production vs Recessions

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