Manufacturing output falls amid weak auto production

Manufacturing output fell 0.4 percent last month amid relatively weak auto production numbers, according to the Federal Reserve. .Manufacturing output increased by the same percentage in March. Durable goods production fell 0.2 percent as the production of motor vehicles and parts fell 1.9 percent and the production of fabricated metal products rose 1 percent. The production of nondurable goods dropped 0.6 percent, with most major categories posting declines. The utilities index increased 3.3 percent, with rises in the output of electric and natural gas utilities. “The major market groups posted mixed results in April,” according to the Federal Reserve. “Among consumer goods, the production of durables dropped 1.3 percent, with decreases in every major category. The production of nondurable consumer goods ticked up 0.1 percent, as a 0.9 percent decline in non-energy goods was outweighed by a 3.2 percent increase in energy goods.” The indexes for business equipment and for defense and space equipment both increased. Construction supplies and business supplies fell 1 percent and 0.3 percent, respectively. Non-energy materials production edged down 0.1 percent, while energy materials production increased 0.8 percent. The mining index fell 0.3 percent, while the index for utilities increased 3.3 percent. At 103.9 percent of its 2017 average, total industrial production was 1.5 percent higher than its year-earlier mark. Mining capacity utilization fell to 77.7 percent, nearly 2 percentage points under its long-term average. The mining operating rate fell 0.3 percentage point to 90.2 percent — 3.7 percentage points higher than its long-term average — and the utilities operating rate increased 2.1 percentage points to 71.3 percent. Manufacturing capacity utilization dropped 0.4 percentage point to 76.8 percent last month, which is 1.4 percentage points below its long-term average.