US Manufacturing continues steady advance, Federal Reserve reports
The latest Federal Reserve data shows Tuesday continuing positives in US manufacturing during 2018’s second quarter,
- The latest results indicate a steady advance in the nation’s manufacturing sector. Factory output climbed at a 1.9 percent annualized rate from April through June, marking the third straight quarterly increase.
- Automobile production jumped 7.8 percent in June from a month earlier when it plunged 8.6 percent after a major fire at a parts supplier. Last month’s increase was reflected in increased output of both consumer goods and business equipment.
- While manufacturing is likely to keep expanding, headwinds are looming. Prices paid for materials are rising amid concerns about tariffs and supply constraints as businesses report having difficulty keeping pace with demand. Nonetheless, lower corporate and consumer taxes and a strong job market will remain positives for the business investment outlook.
- The Fed’s monthly data are volatile and often get revised. Manufacturing, which makes up 75 percent of total industrial production, accounts for about 12 percent of the U.S. economy.
The rest of Bloomberg’s report is HERE.