Tags: Industrial Output Posts Strongest Gain In Five Months

Industrial Output Posts Strongest Gain In Five Months

Wednesday, 15 Dec 2010 09:33 AM

U.S. industrial output rose 0.4 percent in November, its biggest gain since July and the latest sign of a firmer end to the year for the world's largest economy, a report showed on Wednesday.

The increase was above a median forecast of 0.3 percent in a Reuters poll, and followed a downward revision of October's reading from flat to a drop of 0.2 percent.

Output rose 5.4 percent compared to one year earlier, according to the Federal Reserve data. A spike in utilities partly offset a sharp 6.0 percent decline in the production of motor vehicles and parts.

Capacity use, a measure of how fully firms are using their resources, rose to 75.2 in November from a revised 74.9 in October, but remained substantially below its long term average.

Officials at the U.S. central bank tend to look at utilization measures as a signal of how much "slack" remains in the economy — how much room growth has to run before it becomes inflationary.

© 2015 Thomson/Reuters. All rights reserved.

1Like our page

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved