Industrial production and capacity utilization for May 1998.Released for publication June 16 Industrial production Industrial production A statistic determined by the Federal
Reserve Board focusing on the total output of all US factories and mines
on a monthly basis. Used as an economic
indicator. rose 0.5 percent in May after revised increases
of 0.3 percent in April and 0.4 percent in March. Some of the increase
in total industrial production in May resulted from a 2.8 percent surge
in the output of utilities and a 1.2 percent jump in the output of
mines. After having eased earlier in the year, manufacturing output
picked up, rising 0.2 percent in May and 0.5 percent in April. At 128.8
per cent of its 1992 average, total industrial production in May was 4.4
percent higher than it was in May 1997. The rate of industrial capacity
utilization edged up 0.1 percentage point in May, to 82.2 percent.MARKET GROUPS The production of consumer goods Consumer goods Goods not used in production but bought for personal or household use such as food, clothing, and entertainment. increased substantially for the
third consecutive month, led by a jump in the output of durable goods
and of energy products; the production of non-energy nondurable products
remained flat. Increases within the durable consumer goods category were
widespread. The output of automotive products rose 1.7 percent and was
just below the high average level of production attained in the last
quarter of 1997. The production of home computing equipment and
appliances also posted significant gains. Within the non-energy
nondurable consumer goods category, a moderate increase in the output of
food and tobacco products was offset by a decrease in the production of
clothing; the output of consumer chemicals remained flat.The output of business equipment increased 0.4 percent, its third straight monthly gain after having slowed earlier in the year. The output of computers and transit equipment increased sharply again. The production of other types of equipment decreased; in particular, the output of industrial equipment retreated to a level somewhat below the high at the end of 1997. The production of construction supplies increased after two months of decline, but it was still below the high attained in February. The output of materials increased 0.5 percent after some sluggishness in recent months; most of the gain can be explained by a surge in energy materials. In particular, coal production increased sharply and was a bit higher than the record level achieved last December; continuing its volatile behavior of recent months, electricity generation also shot up. Among durable goods materials, the output of parts for consumer goods, which had spiked upward in the fourth quarter, decreased 1.2 percent in May after a substantial decline in the first quarter and a moderate increase in April. The output of equipment parts advanced once more; semiconductors and parts for computers and electronic communication equipment posted the most significant gains. Within nondurable goods materials, the production of textile and paper materials increased after two months of declines, while the production of chemical materials decreased for the fourth consecutive month. INDUSTRY GROUPS The increase in manufacturing output reflected a third consecutive monthly increase in the production of durable goods, which had declined earlier in the year. Increases among durables were widespread and were led once more by strong growth in the production of computer and office equipment and semiconductors. The production of nondurable goods declined 0.1 percent and was virtually unchanged from its February level. Significant declines in the production of apparel, chemicals, petroleum, rubber and plastic products, and leather products were almost offset by increases in the production of food, tobacco, textiles, and paper. The operating rate in manufacturing declined 0.2 percentage point, to 80.9 percent. The utilization rate in advanced-processing industries fell back to its March level. The rate for primary-processing industries fell for the fifth consecutive month to its lowest level since October 1993, but it remained above its long-run average.
Industrial production and capacity utilization, May 1998
Industrial production, index, 1992-100
Category
1998
Feb.(r) Mar.(r) Apr.(r) May(p)
Total 127.3 127.8 128.2 128.8
Previous estimate 127.4 127.7 127.8 . . .
Major market groups
Products, total(2) 120.6 121.2 121.7 122.2
Consumer goods 115.1 116.0 116.5 117.0
Business equipment 146.8 147.8 149.9 150.5
Construction supplies 126.2 124.9 124.7 125.4
Materials 138.2 138.5 138.5 139.2
Major industry groups
Manufacturing 130.6 130.6 131.2 131.5
Durable 147.8 148.1 148.9 149.6
Nondurable 113.0 112.6 113.2 113.1
Mining 108.8 107.8 107.6 108.9
Utilities 108.2 115.0 112.5 115.7
Category Percentage change
1998(1)
Feb.(r) Mar.(r) Apr.(r) May(p)
Total 0.4 0.4 0.3 0.5
Previous estimate 0.3 0.3 0.1 . . .
Major market groups
Products, total(2) 0.6 0.5 0.4 0.4
Consumer goods -1.3 0.8 0.4 0.5
Business equipment 0.4 0.7 1.4 0.4
Construction supplies 0.8 -1.0 0.2 0.5
Materials 0.1 0.2 0.0 0.5
Major industry groups
Manufacturing 0.4 0.0 0.5 0.2
Durable 0.3 0.2 0.6 0.5
Nondurable 0.6 0.3 0.5 0.1
Mining 0.4 0.9 0.2 1.2
Utilities 0.5 6.3 -2.2 2.8
Category
May 1997
to
May 1998
Total 4.4
Previous estimate ...
Major market groups
Products, total(2) 3.9
Consumer goods 2.8
Business equipment 8.2
Construction supplies 2.7
Materials 5.2
Major industry groups
Manufacturing 4.7
Durable 6.8
Nondurable 2.1
Mining 2.1
Utilities 3.5
Capacity utilization, percent
Average, Low High
1967-97 1982 1988-89
Total 82.1 71.1 85.4
Previous estimate ... ... ...
Manufacturing 81.1 69.0 85.7
Advanced processing 80.5 70.4 84.2
Primary processing 82.4 66.2 88.9
Mining 87.5 80.3 88.0
Utilities 87.3 75.9 92.6
1997 1998
May Feb. r Mar.(r) Apr.(r)
Total 82.4 82.2 82.2 82.1
Previous estimate ... 82.3 82.2 81.9
Manufacturing 81.4 81.4 81.0 81.1
Advanced processing 79.4 79.6 79.2 79.4
Primary processing 86.0 85.5 85.0 84.9
Mining 90.5 91.9 91.0 90.8
Utilities 88.5 84.9 90.2 88.1
Memo
Capacity,
percentage
change,
May 1997
to
May(p) May 1998
Total 82.2 4.8
Previous estimate ... ...
Manufacturing 80.9 5.4
Advanced processing 79.2 6.3
Primary processing 84.6 3.4
Mining 91.9 0.5
Utilities 90.5 1.2
NOTE. Data seasonally adjusted or calculated from seasonally Adjusted monthly data. (1.) Change from preceding month. (2.) Contains components in addition to those shown. (r) Revised. (p) Preliminary. |
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