US Industrial Output Disappoints
The US industrial production fell 0.2% in Sept. The market consensus was for a gain of the same magnitude. This is the first decline since June 2009. Manufacturing output fell 0.2%, utility output fell 1.9%, and mining rose 0.7%. The decline in utility output appears largely weather related and fell 1.4% in August. The auto industry stabilized (+0.5%) after the 6.3% drop in August and this volatility is seen related to the investor adjustment of earlier this summer. The output of consumer goods fell 0.4% and durable good goods output fell 0.9%.
Overall industrial output rose 0.5% Q3 after a 1.4% in Q2 and a 1.7% rise in Q1 (cumulative sum of monthly figures).
The data has seen the dollar continue to pare gains scored in Asia earlier today. US debt market is also recouping some of its pre-weekend losses.