Overall industrial output fell 0.6% during March (+2.0% y/y) following an unrevised 0.1% February uptick. Improved weather caused utility output to fall 5.9%, reversing February's increase. A 0.3% decline in production had been expected in the Action Economics Forecast Survey. To the upside, manufacturing sector production improved 0.1% (2.4% y/y) after an unrevised 0.2% decline.

A 0.2% (3.2% y/y) increase in business equipment output followed a 0.8% rise. Transit equipment output improved 0.6% (3.8% y/y) and information processing production ticked 0.1% higher (3.7% y/y). Continuing weak, however, was consumer goods production which posted a 0.6% decline (+0.9% y/y). Nondurable goods output fell 1.2% (-0.2% y/y), held back by a 5.0% drop in energy output. Non-energy production gained 0.1% (1.0% y/y) as food product production improved 0.7% (0.3% y/y) and clothing output rose 0.3% (1.1% y/y). Chemical production, however, fell 0.8% (+2.8% y/y). Durable consumer goods production rebounded 1.7% (4.4% y/y) as automotive product production gained 3.0% (5.3% y/y), making up a 2.9% February decline. A 0.5% shortfall (+5.3% y/y) in appliance & furniture production offset the increase. Construction supplies output fell 0.9% (+2.6% y/y) and mining production declined 0.8% (+3.7% y/y), off 3.1% during the last six months.

Within the special aggregate series, high technology industries production rebounded 0.3% (4.0% y/y) following three straight monthly declines. Computers & office equipment output increased 1.1% (1.1% y/y). Communications equipment production was unchanged (6.4% y/y). Factory sector production excluding the high-tech sector ticked 0.1% lower (+2.2% y/y) after being unchanged. Manufacturing production excluding both high-tech and autos slipped 0.1% (+2.1% y/y).

The capacity utilization rate fell to 78.4% and remained below the recovery high of 79.8% reached in November. In the factory sector, the capacity utilization rate held steady at 77.1%, its lowest since October. Total industry capacity rose 3.0% y/y while factory sector capacity increased 2.1% 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.