Global| Sep 15 2006Industrial Production Stalled in August
by:Tom Moeller
|in:Economy in Brief
Summary
Total U.S. industrial output slipped 0.2% last month and that disappointed Consensus expectations for a 0.2% gain. The decline followed an unrevised 0.4% rise during July. As hot summer temperatures moderated, utility output reversed [...]
Total U.S. industrial output slipped 0.2% last month and that disappointed Consensus expectations for a 0.2% gain. The decline followed an unrevised 0.4% rise during July.
As hot summer temperatures moderated, utility output reversed nearly all of the July spike with a 0.8% (+0.7% y/y) decline.
Factory sector output also cooled and was unchanged after an upwardly revised 0.3% July increase. So far in 3Q factory output is up at a 3.5% rate versus 2Q which rose 5.1% (AR).
Production of durable consumer goods recovered a piece of the July drop and rose 1.2% (-0.3% y/y) as output of automotive products increased 2.0% (-2.8% y/y) and output of appliances & furniture increased 1.2% (-1.7% y/y) after four straight months of decline. Nondurable consumer goods output fell 0.3% (+2.7% y/y).
Business equipment production slipped 0.2% as output of information processing & equipment fell 0.4% (+17.3% y/y).Factory output overall less the hi-tech industries was unchanged (4.5% y/y).
Overall capacity utilization slipped to 82.4% from an upwardly revised 82.7% in August.
| Production & Capacity | August | July | Y/Y | 2005 | 2004 | 2003 |
|---|---|---|---|---|---|---|
| Industrial Production | -0.2% | 0.4% | 4.7% | 3.2% | 4.1% | 0.6% |
| Manufacturing (NAICS) | 0.0% | 0.3% | 5.6% | 3.9% | 4.8% | 0.5% |
| Consumer Goods | 0.1% | -0.4% | 1.9% | 2.1% | 2.1% | 1.0% |
| Business Equipment | -0.2% | 2.3% | 13.5% | 9.1% | 9.3% | 0.0% |
| Capacity Utilization | 82.4% | 82.7% | 80.3% (8/05) | 80.1% | 78.6% | 75.7% |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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