Industrial Production Rose 0.4 percent in August

Industrial production increased 0.4 percent in August after an upwardly revised 0.4 percent increase in July, according to the Federal Reserve. Capacity utilization increased to 78.1 percent in August, a rate that is 1.7 points below its long-run average.

Manufacturing output increased 0.2 percent after rising 0.3 percent last month. Production of durable goods increased 1.0 percent, while nondurable goods production declined 0.5 percent. Capacity utilization for manufacturing rose 0.1 percentage point to 75.8 percent, a rate that is 2.5 percentage points below its long-run average.

The output of mining rose 0.7 percent after increasing 0.7 percent in July. The index in August was 14.1 percent higher than its year-earlier level.

Utilities increased 1.2 percent in August, after declining 0.1 percent in July. The index in August was 4.8 percent higher than its year-earlier level.

Read the Fed release.

About Jack McCabe

Jack McCabe is a research associate in the Economic Policy and Research group at the ABA.
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