Posted on 12/15/2014 7:08:00 AM PST by blam
Myles Udland
December 15, 2014
Industrial production had a huge rebound in November.
Industrial production rose 1.3% in November according to the latest report from the Federal Reserve.
Expectations were for the report to show industrial production rose by 0.7% in November, better than October's 0.1% contraction. October's number was revised up to 0.1% from -0.1%.
Capacity utilization also rose sharply, to 80.1% from a revised reading of 79.3%. Capacity utilization was expected to rise, to 79.4% from 78.9%.
This rate of capacity utilization is now equal to its long-run average spanning 1972-2013 and hit its highest level since March 2008.
(snip)
(Excerpt) Read more at businessinsider.com ...
So, it’s unexpected?
They can't breathe?
If Industrial production saw such a large increase, why is the demand for oil slowing? Doesn’t make sense.
Better off shore them immediately. < /sarc >
Shhhhhhh!!!!
You might upset some people.....
Fueled by Sub-prime auto loans, and higher energy spending due to a colder-than-normal November.
Truck sales have soared, as companies replace fleets that are now the oldest, ever.
I suspect that you are correct. I see these increases as blips to replace the old equipment, vehicles, products, etc. that haven’t been replaced since pre-2007. In addition, we all know that Obamacare kicks in for everyone next year and investment money will be diverted to either the increased obamacare insurance policy costs, or to pay the fines. Prices will increase as a result of those costs being in the cost of manufacturing.
These blip increases are nothing more than prep for a coming dip....
Cheap capital, expensive Obamacare labor, the perfect recipe for investment in automation. Productivity has been steadily climbing while total labor participation has been steadily declining. Futurists have predicted this seismic change in the manufacturing sector for years. It only takes 3% of the work force to do agriculture and manufacturing could shrink down to that. We simply are becoming to efficient and spend most of our time making up busy-body jobs to prop up consumption. What a dilemma.
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