US April industrial production +0.5% vs 0.0% expected

• Prior was +0.4%

Details:

• Mining output +1.0% vs -0.5% prior
• Manufacturing output % vs -0.5% exp
• Capacity utilization 79.7% vs 79.7% exp
• Motor vehicle assembly rate m units 11.40 vs 10.03m prior
• Industrial output ex autos and parts +0.4% vs +0.5% prior

In April, industrial production in the US saw a 0.5% increase, following two months of stagnant growth. This improvement was largely driven by a significant 1.0% increase in manufacturing, particularly due to a surge in the production of motor vehicles and parts. Even without considering motor vehicles and parts, factory output still rose by 0.4%. Mining also contributed to this growth, with its index increasing by 0.6%. However, the utilities index dropped by 3.1% due to reduced demand for heating, a result of milder temperatures in April. Despite the fluctuations in these sectors, total industrial production was still 0.2% higher than it was a year earlier, standing at 103.0% of its 2017 average.

This latest rise in auto production will boost Q2 growth but there will be payback later as it normalizes.

The US dollar US Dollar The US dollar, (symbol $, code USD) is the fiat currency of the United States of America (USD) and the most widely traded currency globally. It was introduced into the US in the late 18th Century, with paper notes not being distributed until the following century. The US dollar, also informally known as the greenback, is the world’s most foremost reserve currency, due in large part to the importance of the US economy on the world stage. Once backed by gold (in the 1900’s), the USD is now a purel The US dollar, (symbol $, code USD) is the fiat currency of the United States of America (USD) and the most widely traded currency globally. It was introduced into the US in the late 18th Century, with paper notes not being distributed until the following century. The US dollar, also informally known as the greenback, is the world’s most foremost reserve currency, due in large part to the importance of the US economy on the world stage. Once backed by gold (in the 1900’s), the USD is now a purel Read this Term remains higher on the day and USD/JPY is at a session high, up 11 pips to 136.22.