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The numbers: Industrial production rebounded in November and rose 0.2% after a major auto strike ended, but most other manufacturers saw little improvement.
Economists surveyed by the Wall Street Journal had forecast a 0.3 increase in production.
Key details: Auto output jumped 7.1%, the Federal Reserve said, after plunging in the prior month due to the United Auto workers’ strike.
Manufacturing production fell 0.2% excluding the auto sector, however.
Capacity utilization edged up 0.1 points to 78.8%, the Fed said.
The number reflects how much of a plant is used to make things. The current level is about 1 point below the historic average.
Defense orders continued to trend higher, rising 1.2%. That’s the 11th consecutive monthly increase.
Big picture: The industrial side of the economy has been in a slump for most of the past year. Higher interest rates and shifting consumer spending toward services have reduced the demand for big-ticket items.
Heavy industry is unlikely to improve much until interest rates come down and the economy picks up steam. That could take a while.
Market reaction: The Dow Jones industrial average
DJIA
and S&P 500
SPX
were set to open slightly higher in Friday trades. The yield on the U.S. 10-year note edged up to 3.93%.
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