Industrial Production Grows for 17th Consecutive Month

 

Consumer durable goods industrial production in May was up 4.7 percent compared to May 2010. The one-month rate of change has grown for 17 consecutive months, although May’s rate was the second slowest in that period.

 

The chart above shows that the actual production index is still at a relatively high level compared to those levels at the worst of the recession, or the peak production levels of 2010. While the production level is still high, the annual rate of change has seen slower growth each of the last five months.

 

Some sectors of durable goods manufacturing are performing better than consumer durable goods. Sectors still seeing accelerating growth in the annual rate of change are durable goods excluding motor vehicles and parts (what I call capital goods), machinery, turned product, mining, oil and gas field equipment, power transmission equipment, aerospace and medical equipment.