US industrial production's September decline largely in line with expectations
US industrial production declined in line with expectations in September, figures released on Friday showed.
According to figures released by the Federal Reserve, output fell 0.2% from an upwardly revised 0.1% decline in the previous month and compared with analysts' expectations for a 0.3% decline.
"The decline in industrial production in September was a much smaller fall than we were expecting, but it nonetheless illustrates the impact that the stronger dollar is having on manufacturing and the impact that the slump in energy prices is having on mining output," said Paul Ashworth, chief US economist at Capital Economics.
Meanwhile, capacity utilisation fell to 77.5% from an upwardly revised 77.8% in August, marginally above the 77.4% expected.
Manufacturing output fell by a very modest 0.1% month-on-month last month and the decline in August was revised to 0.1% month-on-month from 0.4% month-on-month.
"The longer-term picture is that manufacturing output has been basically unchanged since the start of this year and is up only 1.4% over the past 12 months," added Ashworth.
"While the impact that the stronger dollar has on prices will fade soon, the negative effect on output is likely to persist for a lot longer."