U.S. Industrial Production Unchanged Amid Drop In Manufacturing Output

With a drop in manufacturing output offsetting increases in mining and utilities output, the Federal Reserve released a report on Thursday showing that U.S. industrial production was unchanged in the month of May.

The Fed said industrial production was flat in May after jumping by 1.1 percent in April. Economists had expected production to rise by 0.2 percent.

The report said manufacturing output fell by 0.4 percent in May following a 1.1 percent surge in the previous month.

On the other hand, mining output spiked by 1.6 percent in May on the heels of a 1.5 percent jump in April.

Utilities output also rose by 0.4 percent in May following a 0.7 percent increase in the previous month.

The Fed also said Capacity utilization for the industrial sector edged down to 76.6 percent in May from 76.7 percent in April. Capacity utilization had been expected to come in unchanged.

Capacity utilization in the manufacturing sector dropped to 75.5 percent, while capacity utilization in the mining and utilities sectors rose to 84.3 percent and 76.6 percent, respectively.