Industrial Production and Capacity Utilization Highlights

  • Industrial production moved up 0.2 percent in November after posting an upwardly revised increase of 1.2 percent in October. Manufacturing production also rose 0.2 percent in November, its third consecutive monthly gain.
  • The output of utilities dropped 1.9 percent.
  • The index for mining increased 2.0 percent, as oil and gas extraction returned to normal levels after being held down in October by Hurricane Nate.
  • Excluding the post-hurricane rebound in oil and gas extraction, total industrial production would have been unchanged in November.
  • Total industrial production was 106.4 percent of its 2012 average in November and was 3.4 percent above its year-earlier level.
  • Capacity utilization for the industrial sector was 77.1 percent in November, a rate that is 2.8 percentage points below its long-run (1972–2016) average.

The above bullet points from the Fed G.17 Industrial Production Report.

Capacity Utilization

Image placeholder title

Notes

RECOMMENDED ARTICLES

  1. Industrial production is still well below the pre-recession high.
  2. Capacity utilization, assuming it can accurately be measured, has fallen from almost 90% in the early 1970s to 77.1% in November of 2017.

Hurricanes artificially boosted manufacturing production and fourth-quarter GDP. Payback comes in 2018.

Mike "Mish" Shedlock

Industrial Production Jumps: Another Hurricane Effect?

Industrial production rose 0.9% in October after a revised 0.4% in September. In reference to the discrepancy between industrial production and the regional Fed manufacturing reports, Econoday says "The last piece has fallen into place." What's the real story?

Industrial Production Much Stronger than Expected

Industrial production rose 0.6 percent vs the Bloomberg Econoday consensus estimate of 0.2 percent.

Industrial Production Jumps on Utilities (Cold Weather) and Mining

Industrial production rose a seemingly solid 0.9 percent in December until one looks at the details.

Manufacturing Production Unexpectedly Fizzles: No Hurricane Bounce

Industrial production in September rose 0.3% vs an expected gain of 0.2%, but the strength dies there. Economists expected a rebound of 0.4% in manufacturing, led by autos, but the gain was an anemic 0.1%.

Industrial Production Increased 0.3% in September, Minimal Impact from Florence

Industrial Production Increased 0.3% in September. Hurricane Florence had an estimated effect of less than 0.1%.

Industrial Production Unexpectedly Declines

Industrial production unexpectedly slipped in March, down 0.1% vs an expected gain of 0.3%.

Industrial Production Rebounds after GM Strike Ends

With GM back in swing, Industrial production rose 1.1% after two dismal months.

Tale of Two Economies: Industrial Production vs Retail Spending

Retail sales in July rose more than expected albeit from negative revisions. Industrial production is another matter.

Industrial Production Unexpectedly Weak: Manufacturing Declines 0.4 Percent

Without a cold February and a resultant surge in utilities, industrial production would have been negative.