Gain in Factory Output Signals Sustained U.S. Demand: Economy

Posted by Reuters

Share on Facebook

Tweet on Twitter

U.S. manufacturing output rose for a third straight month in October even as automobile production fell, suggesting a broadening in activity in a sector regaining momentum after a slump early this year.

Other data on Friday showed factory activity fell in New York state early this month, but economists said that was probably a delayed reaction to last month’s 16-day partial shutdown of the federal government.

National manufacturing output increased 0.3 percent after edging up 0.1 percent in September, the Federal Reserve said. In the 12 months through October, factory production was up 3.3 percent, the fastest since December 2012.

The monthly increase, which matched economists’ expectations, was despite a 1.3 percent fall in auto production. Auto assembly fell for the first time since July.

test-php-789