Friday, March 16, 2012

Industrial Production unchanged in February, Capacity Utilization declines

by Calculated Risk on 3/16/2012 09:15:00 AM

From the Fed: Industrial production and Capacity Utilization

Industrial production was unchanged in February after having risen 0.4 percent in January. Previously, industrial production was reported to have been unchanged in January. Manufacturing output moved up 0.3 percent in February. ... At 96.2 percent of its 2007 average, total industrial production for February was 4.0 percent above its year-earlier level. Capacity utilization for total industry edged down to 78.7 percent, a rate 1.2 percentage points above its level from a year earlier but 1.6 percentage points below its long-run (1972--2011) average.
Capacity Utilization Click on graph for larger image.

This graph shows Capacity Utilization. This series is up 11.3 percentage points from the record low set in June 2009 (the series starts in 1967).

Capacity utilization at 78.7% is still 1.6 percentage points below its average from 1972 to 2010 and below the pre-recession levels of 81.3% in December 2007. Capacity utilization for January was revised up from 78.5% to 78.8%.

Note: y-axis doesn't start at zero to better show the change.

Industrial ProductionThe second graph shows industrial production since 1967.

Industrial production was unchanged in February at 96.2; however January was revised up 0.4%.

The consensus was for a 0.4% increase in Industrial Production in February, and for an increase to 78.8% (from 78.5%) for Capacity Utilization. Although below consensus, with the January revisions, this was close to expectations.

All current manufacturing graphs