Economic Report: U.S. industrial output surges in October after stumbling in prior month
The numbers: Industrial production rose 1.6% in October, the Federal Reserve reported Tuesday, recovering all of the 1.3% decline experienced in the prior month.
The increase was above Wall Street expectations of a 0.8% gain, according to a survey by The Wall Street Journal.
Capacity utilization rebounded to 76.4% in October from 75.2 in the prior month. The capacity utilization rate reflects the limits to operating the nation’s factories, mines and utilities. Economists had forecast a 75.8% rate.
Big picture: About half the gain in October reflected a recovery from the effects of Hurricane Ida. There was also a strong gain in autos. Overall, the manufacturing sector is struggling to meet high demand because of supply chain woes.
Market snapshot: Stocks
were set to open slightly higher on Tuesday.