Home Logon FTA Investment Managers Blog Subscribe About Us Contact Us

Search by Ticker, Keyword or CUSIP       
 
 

Blog Home
   Brian Wesbury
Chief Economist
 
Bio
X •  LinkedIn
   Bob Stein
Deputy Chief Economist
Bio
X •  LinkedIn
 
  Industrial production rose 0.7% in October
Posted Under: Data Watch • Industrial Production - Cap Utilization
Supporting Image for Blog Post

 
Implications:  Industrial production soared in October, easily beating consensus expectations and showing no sign of recession.  Mining activity increased 2.3%, the most in three years.  However, manufacturing was strong too, up 0.4% in October and 0.3% if a booming auto sector is excluded.  From a year ago, manufacturing is up 4.5%, 3.9% excluding autos.  Auto production is up at a 17.3% annual rate over the past six months, a rebound from the supply-chain disruptions that came from Japan earlier this year.  It's still an open question what temporary impact recent massive flooding in Thailand will have on auto production in November.  The production of business equipment has been particularly strong in recent months, up 10.2% from a year ago and up at a 12.7% annual rate in the past six months.  The outlook for continued growth in business investment looks good.  Corporate profits are at a record high and so is cash on the balance sheets of non-financial companies.  Meanwhile, capacity utilization looks set to be at the long-term average of 80% by the end of 2012, which will give firms more of an incentive to build out capacity.

Click here to view the entire report.

 

Posted on Wednesday, November 16, 2011 @ 11:45 AM • Post Link Print this post Printer Friendly

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.
 
The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
Follow First Trust:  
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
Home |  Important Legal Information |  Privacy Policy |  California Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2025 All rights reserved.