Industrial production increased 0.3 percent last month and grew at an annual rate of 2.5 percent, according to the Federal Reserve.
Manufacturing output increased 0.4 percent in September but was 0.8 percent below its year-earlier level. The index for mining moved up 0.4 percent, while the index for utilities dropped 0.3 percent. Factory output was mixed as a 2.3 percent annualized increase in durable manufacturing was offset by a 2.4 percent annualized decline in nondurable manufacturing.
At 103.6 percent of its 2017 average, total industrial production was slightly above its year-earlier figure. Capacity utilization increased 0.2 percentage points to 79.7 percent in September, equal to its previous 50-year average. Capacity utilization for manufacturing slightly increased in September to 77.8 percent, which is still nearly a half percentage point lower than its 50-year average.
Most major market groups gained in September, according to the Federal Reserve. The index for consumer durables increased 1.2 percent, while the index for consumer nondurables was unchanged as an increase in chemical products was offset by a drop in energy goods.
The production of business equipment fell 0.7 percent, while the index for defense and space equipment increased at least 1 percent for the fifth straight month. Within materials, the index for non-energy durables increased 0.8 percent, and the index for non-energy nondurables rose 0.5 percent.
The index for motor vehicles and parts increased 0.3 percent as motor vehicle assemblies were limited by the ongoing United Auto Workers strike. Publishing and logging manufacturing fell 0.2 percent but increased nearly 5 percent in the third quarter.
“Elsewhere in manufacturing, gains of 1 percent or more were recorded by wood products, primary metals and plastics and rubber products, and declines of 1 percent or more were recorded by apparel and leather as well as printing and support,” the Federal Reserve said.
Mining output increased 0.4 percent in September for its fourth straight monthly gain. The index for utilities fell 0.3 percent in September but still increased 15.2 percent at an annual rate in the third quarter.