Industrial production and new home construction rose sharply last month, suggesting that the economy is overcoming high energy prices and rebounding from the summer slump. But a spike in consumer prices is also stoking worries that inflation might spread more broadly as the economy heats up. The Federal Reserve reported yesterday that industrial production rose 0.7 percent in October, the fastest pace since July. In addition, the Commerce Department reported that new housing starts had recovered from a September dip to rise 6.4 percent last month. Investors in financial markets seemed encouraged by the emerging panorama of economic strength, as...