Recent Updates
- Global Supply Chain Pressure Index (Mar, Apr)
- US: Job Openings and Labor Turnover Survey by State (Mar)
- US: New Residential Construction (Apr)
- Canada: CPI (Apr)
- Japan: NCI Economic Activity Index (May)
- more updates...
Economy in Brief
U.S. Industrial Production Much Stronger than Expected in April
The increase in manufacturing output in April was once again led by motor vehicle and parts production...
U.S. Retail Sales Posted Solid Rise in April
Notwithstanding falling real incomes and declining confidence measures, consumer spending posted a solid increase...
U.S. Home Builder Index Took a Steep Drop in May
This is the fifth straight month that builder sentiment has declined...
U.S. Empire State Manufacturing Index Declines in May
The Empire State Manufacturing Index of General Business Conditions dropped thirty-six points...
Surging Imports Send the EMU Trade Scene Deeper into Deficit
The trade balance for the Euro Area fell sharply to 17.5 billion euros in March...
Viewpoints
Commentaries are the opinions of the author and do not reflect the views of Haver Analytics.
The Many Links of Inflation Cycle: Hard Landing Is Needed to Crack Them
Peak Inflation & Fed Policy: A Relationship Which Should Worry The Fed And Scare Investors
Why Have the Yields on TIPS Been Negative in the Past Two Years?
"Core" GDP Suggests Economy Gained Momentum in Q1:2022
by Tom Moeller July 15, 2020
• Manufacturing output gains are broad-based in June.
• Auto output is exceptionally strong followed by high-tech production.
• Capacity utilization markedly increases.
Industrial production increased 5.4% in June (-10.8% y/y) after an unrevised 1.4% May gain. The record 12.7% April decline was little-revised. A 4.0% increase had been expected in the Action Economics Survey.
Manufacturing production gained 7.2% in June (-11.1% y/y) after rising 3.8% in May. Output of durable goods jumped 11.7% (-14.3% y/y) led by a 105.0% surge in motor vehicles production. Despite this second straight month of triple-digit increase, motor vehicle output remained down by roughly one-quarter y/y. Capacity utilization in the auto sector was just 59.0%. Computer & electronic product production surged 5.5% (2.0% y/y) while electrical equipment output gained 1.6% (-10.1% y/y). Machinery production rose 6.4% (-15.8% y/y) and furniture output gained 5.3% (-14.0% y/y). Nondurable goods production improved 3.3% (-7.4% y/y) led by a 10.5% rise (-14.9% y/y) in apparel production. Chemical output gained 1.8% (-3.5% y/y) and petroleum & coal production increased 4.3% (-16.8% y/y).
Output of business equipment improved 11.8% (-18.2% y/y) in June after a 7.4% May increase. Information processing equipment production strengthened 7.4% (3.3% y/y) while output of transit equipment jumped by roughly two-thirds (-48.4% y/y).
Capacity utilization rose to 68.6% in June, up from 65.1% in May. The Action Economics Survey expected 67.4%. Factory sector utilization increased to 66.9% of capacity which grew a reduced 0.6% y/y. During all of 2019, manufacturing capacity grew 1.5%
Industrial production and capacity and oil prices are located in Haver's USECON database. Additional detail on production and capacity can be found in the IP database. The expectations figures come from the AS1REPNA database.
Industrial Production (SA, % Change) | Jun | May | Apr | Jun Y/Y | 2019 | 2018 | 2017 |
---|---|---|---|---|---|---|---|
Total Output | 5.4 | 1.4 | -12.7 | -10.8 | 0.9 | 4.0 | 2.3 |
Manufacturing | 7.2 | 3.8 | -15.9 | -11.1 | -0.2 | 2.3 | 2.0 |
Durable Goods | 11.6 | 6.8 | -21.9 | -14.3 | 0.7 | 3.4 | 2.2 |
Motor Vehicles | 105.0 | 120.0 | -76.3 | -24.7 | -2.3 | 4.1 | -0.0 |
Selected High Tech | 1.8 | -0.4 | -2.8 | 1.8 | 5.1 | 6.4 | 2.6 |
Nondurable Goods | 3.4 | 1.4 | -10.0 | -7.4 | -0.7 | 1.9 | 1.9 |
Utilities | 4.2 | -3.5 | 1.9 | 0.6 | -0.8 | 4.4 | -0.8 |
Mining | -2.9 | -6.1 | -6.8 | -16.9 | 7.1 | 12.4 | 7.4 |
Capacity Utilization (%) | 68.6 | 65.1 | 64.2 | 77.7 | 77.8 | 78.7 | 76.5 |
Manufacturing | 66.9 | 62.3 | 60.0 | 75.7 | 75.6 | 76.6 | 75.1 |