Increases in U.S. Industrial and Manufacturing Production
July 2016U.S. industrial output rose in June at a seasonally adjusted rate of 0.6%, according to the Federal Reserve. The last time it jumped at that rate was in July 2015 and economists are forecasting another increase during the fourth quarter of 2016.
With signs pointing to economic growth within industrial production, manufacturing has also received positive growth on the Institute for Supply Management index (ISM). Activity was gauged at a 53.2* on the ISM index during June, a 1.9 increase compared to the previous month. This is the fourth consecutive month in which manufacturing production increased with notable growth in both orders and production and exports hitting the highest level since November 2014.
These encouraging signs indicate that the U.S. industrial and manufacturing industries are on the mend following recent periods of contraction.
For more information please visit ISM and The Federal Reserve
*On the Institute for Supply Management index a reading above 50 indicated that the factory activity is expanding and a reading below 50 signals contraction.