U.S. industrial production declined by 0.6% in October vs. September, according to the Federal Reserve’s Industrial Production and Capacity Utilization report, issued Nov. 16. Manufacturing output fell 0.7%, matching its biggest one-month decline since June.
The Fed said much of the October decline was driven by a 10% drop in the output of motor vehicles and parts that stemmed from the United Auto Workers’ union’s six-week strike at the nation’s three largest automotive makers. Excluding those categories, manufacturing output ticked up 0.1% from September.
The report’s index for utilities decreased 1.6% month-to-month, and the output of mines increased 0.4%.
Meanwhile, industrial capacity utilization moved won 0.6 percentage points to 78.9% in October — a rate that is 0.8 points below its long-run (1972-2022) average.
Year-over-year, total October industrial production was down 0.7%.