May Industrial Production Preview
May Industrial Production is expected to increase 0.1% (estimate range: down 0.4% to up 0.4%) following a 0.7% decline in April. Capacity Utilization is expected to be unchanged in April at 79.7%.
April Industrial Production cratered on a 8.2% decrease in vehicle production, driven by the American Axel strike. Auto production should enjoy a fervent rebound in May, when the strike was resolved, boosting total US manufacturing production after its 0.8% decline in April.
Mining production is also expected to rebound from a 0.8% decline in April. Unseasonably cool weather likely will have restrained utilities production following a 0.3% increase in April.
Manufacturing aggregate hours fell 0.2% in the May Employment report, while vehicle assembly hours worked posted a noticeable increase.
Related data:
* May ISM Manufacturing Production Index: 51.2 vs. 49.1
* May Chicago PMI 49.1 vs. 48.5 Expected
* June Empire State Index: -8.7 vs. -3.2 Prior
* April Factory Orders up 1.1%, Ex-Transports up 2.6%