- Prior was -0.2% (revised to 0.0%)
- Capacity utilization 80.3% vs 80.1% expected
- Manufacturing output +0.7% vs +0.2% expected
- Prior manufacturing output -0.5% (revised to -0.4%)
This is strong data but after the crash in the Empire Fed yesterday, the market is worried about manufacturing going forward. That said, a 'normalization' of manufacturing in the US is inevitable and shouldn't be a surprise. Going back to running factories regularly rather than full-out is negative growth but I don't see it as a sign of a recession.
