U.S. industrial output rises 0.4% in September
U.S. industrial output rises 0.4% in September (by Greg Robb)
WASHINGTON (MarketWatch) - The output of the nation's factories, mines and utilities rebounded 0.4% in September after a steep drop in the prior month, the Federal Reserve said Tuesday. The gain in September was above Wall Street expectations of a 0.2% increase. Some of the gain in September was due to a resumption of oil production along the Gulf of Mexico that had been idled in late August in anticipation of Hurricane Isaac. August production, hurt by the drop in oil production, was revised down to a 1.4% decrease from the initial estimate of a 1.2% decline, while July production was revised to a 0.7% gain from a 0.5% rise. For the third quarter, industrial production declined at a 0.4% annual rate. Factory activity alone rose 0.2% in September after a 0.9% fall in the previous month. For the third quarter, manufacturing moved down at a 0.9% annual rate, its first decline since the recession ended in the summer of 2009. Capacity utilization - a gauge of slack in the economy - rose to 78.3% in September from 78.0% in August, still well below the 79.2% level reached in July.