Manufacturing Jobs / Manufacturing News / Manufacturing Trends

U.S. manufacturing output rises in broad gain

By Bloomberg, for IndustryWeek

Sep 17, 2019

U.S. factory output increased in August by more than forecast in a broad advance that signals manufacturing may be starting to stabilize.

Production at manufacturers rose 0.5%, Federal Reserve data showed Tuesday, exceeding the median estimate in a Bloomberg survey of economists, after falling the prior month. Total industrial production, which also includes output at mines and utilities, increased 0.6%, the most in a year as crude oil extraction bounced back after Hurricane Barry depressed drilling in the Gulf of Mexico a month earlier.

The gain marks a welcome respite from the deterioration in manufacturing since the start of the year. The industry slipped into a recession during the first half of 2019 amid slowing overseas demand, exacerbated by an ongoing trade war with China. While domestic demand may help cushion producers from a deeper slowdown, the risk is that output could remain anemic in coming months.

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