WASHINGTON – Industrial production in the United States continued to recover in October from the impact of Hurricanes Harvey and Irma, growing a seasonally adjusted 0.9% from the previous month, the Federal Reserve said Thursday.
The October increase beat economists’ forecasts and was the largest since April; the US central bank also upwardly revised its initial September reading, saying industrial output rose 0.4% instead of 0.3%.
Automobile production climbed 1% last month, but mining output fell 1.3% due to a temporary decline in oil production attributed to the impact of Hurricane Nate.
Manufacturing output climbed 1.3% in October from the previous month, a big improvement relative to September’s 0.4% month-over-month increase, the Fed said.
US industrial production rose 2.9% year-over-year in October, a result driven by the mining and utility sectors.
American factories’ capacity utilization rate, which measures how much they are producing as a proportion of what they could produce (without incurring additional expensive overhead costs), climbed to 77% in October, up from 76.4% in September.