JUNE INDUSTRIAL PRODUCTION UP 0.5%, CAPACITY UTILIZATION RISES TO 79.9%
Industrial production rose 0.5% in June, beating analysts’ expectations and reversing 2 months of declines. The June figured improved from an unrevised 0.2% drop in May.
Consumer goods production was up 0.7% on the back of 2.6% growth in durable goods output. Automotive products surged 6.2%, reflecting the ramp-up of production after the American Axle strike was settled in late May.
Business equipment output edged up 0.2% in June, while construction supplies fell 0.9%.
In the manufacturing sector, overall output was up 0.2%, with primary metals output up 2.9%. Motor vehicles and parts production was 5.4% higher. Petroleum and coal products output was up 0.4%.
Utilities output rose 2.1%, boosted by warmer temperatures in June, while mining output was up 1.1%.
On a y-o-y basis, industrial production was up 0.3% vs. June-07.
Meanwhile, capacity utilization rose to 79.9% from May’s upwardly revised 79.6% (previously reported as 79.4%, which was the lowest percentage since 2004). Crude capacity utilization edged up to 89.7% from 89.6% in May, while mining and utilities capacity use also posted gains.