US factory production rebounds at fastest pace in 4 months

U.S. factory production in July posted the strongest gain in 4 months, reflecting a surge in production at auto plants that are still confronting major supply chain problems

Industrial Production (Copyright 2021 The Associated Press. All rights reserved.)

U.S. factory production in July posted the strongest gain in 4 months, reflecting a surge in production at auto plants that are still wrestling with major supply chain problems.

Manufacturing output increased 1.4% in July following a decline of 0.3% in July, the Federal Reserve reported Tuesday. It was the best showing since a 3.4% gain in March.

Overall, industrial production — which includes manufacturing, utilities and mining — posted a 0.9% increase, the best performance since a 2.8% surge in March.

The mining sector, which includes oil and gas production, rose 1.2% while output in the utility sector fell 2.1% in July.