Thursday, April 15, 2010

Industrial Production Up 0.1%, Manufacturing Up 0.9 Percent

In January, industrial production rose 0.1%. Output has now increased for nine consecutive months. The increase was held back, however, due to a large 6.4% drop in utilities output, largely due to volatility surrounding the inclement weather this past winter in much of the country. Manufacturing output expanded by a much greater 0.9%. Over the first quarter, manufacturing output increased 7.5% at an annualized rate, compared to 5.6% growth in the fourth quarter. Excluding auto manufacturing, output grew at 6.2% annualized in the first quarter, compared to 4.6 in the fourth quarter. Manufacturing is currently in a stage of strong expansion.

The capacity utilization rate rose for the seventh consecutive month, increasing by 0.2 point to 73.2%. There still remains heavy productive slack; however, an increasing utilization rate is an encouraging step in the right direction as it will have to continue to increase before widespread expansion of payrolls can occur.

10.04.15 (Source: Federal Reserve)

No comments:

Post a Comment

Please read our comment policy before making a comment.