Recent Updates

  • Kazakhstan: GDP by Income, Labor Productivity Index (Q4), Loans & Deposits, Monetary Aggregates, Banking System Surveys (Mar)
  • Japan: Index of Business Conditions (Feb-Final), Electric Power Generated (Jan)
  • Spain: Services Sector Activity, New Orders and Turnovers (Feb)
  • Finland: PPI, Domestic Supply Prices (Mar)
  • US: NABE Business Conditions Survey (Q1)
  • Indonesia: Non-Oil and Gas Trade (Feb); Taiwan: Labor Market (Mar)
  • more updates...

Economy in Brief

U.S. Industrial Production Declines
by Tom Moeller  September 15, 2016

Industrial output declined 0.4% during August (-1.1% y/y) following a 0.6% July increase, revised from 0.7%. It was the first production decline in three months and compared to a 0.2% shortfall expected in the Action Economics Forecast Survey.

Factory sector production fell 0.4% last month (-0.4% y/y) and reversed the prior month's rise. Consumer goods production eased 0.2% (+0.1% y/y) as machinery output fell 1.9% (-3.4% y/y). Output of electrical equipment & appliances declined 1.4% (-2.3% y/y). Appliance output fell 1.4% (+1.2% y/y), and computer & audio/video output was off 1.0% (+0.1% y/y). In the nondurable goods area, chemical production fell 0.6% (-1.0% y/y), but apparel production improved 0.1% (-9.2% y/y). To the upside was motor vehicle & parts production by 0.5% (4.7% y/y), and furniture output by 0.6% (-0.5% y/y). Paper production strengthened 0.8% (-0.5% y/y) while food, beverage & tobacco production gained 0.3% (-0.5% y/y). In the capital goods sector, business equipment production declined 0.4% (-1.3% y/y) as industrial equipment output fell 2.0% (-1.5% y/y). Offsetting this decline was a 1.3% rise (2.8% y/y) in information processing equipment production.

Materials production eased 0.5% (-1.8% y/y) as durable materials output fell 0.8% (-1.2% y/y), but nondurable goods materials production was little changed (0.8% y/y). Energy materials production fell 0.4% (-4.2% y/y).

Utilities production declined 1.4% (+1.6% y/y) while mining output firmed 1.0% (-9.4% y/y).

In the special industrial output groupings, output of high technology products rose 0.2% (4.6% y/y). Computer & office equipment fell 0.4% (3.8% y/y). Industrial production excluding autos & high technology products declined 0.5% (-1.6% y/y).

The overall capacity utilization rate declined to 75.5% and reversed the prior month's rise. The factory sector utilization rate fell to 74.8%, the lowest level in three months. Industrial capacity increased 0.4% y/y).

Industrial production and capacity data are included in Haver's USECON database, with additional detail in the IP database. The expectations figure is in the AS1REPNA database.

Industrial Production (SA, % Change) Aug Jul Jun Aug Y/Y 2015 2014 2013
Total Output -0.4 0.6 0.5 -1.1 0.3 2.9 1.9
Manufacturing -0.4 0.4 0.2 -0.4 0.8 1.3 0.9
    Consumer Goods -0.2 0.4 0.7 0.1 1.4 0.7 0.7
    Business Equipment -0.4 0.1 0.5 -1.3 0.7 2.4 -0.2
    Construction Supplies -0.6 0.4 -0.3 0.4 1.5 3.7 3.0
  Materials -0.5 0.9 0.6 -1.8 0.5 4.7 3.3
Utilities -1.4 2.1 2.9 1.6 -0.7 1.3 2.3
Mining 1.0 0.2 0.3 -9.4 -1.8 11.0 6.5
Capacity Utilization (%) 75.5 75.9 75.5 76.7 76.7 78.2 76.9
 Manufacturing 74.8 75.2 75.0 75.7 75.5 75.4 74.5
close
large image