Durable Goods Production Growth Fastest in Three Months
The durable goods industrial production index was 105.8 in January 2016. In January, the one-month rate of change was 1.2 percent, which was fastest rate of growth in three months and the second fastest rate of growth in the last five months. However, the annual rate of growth decelerated to 1.7 percent, which was the 11th straight month that the growth rate decelerated. This was the slowest rate of annual growth since April 2014.
The best leading indicators for durable goods production are housing permits, durable goods new orders, and consumer durable goods spending. Housing permits have grown at a somewhat accelerating rate in recent months. The one-month rate of change in durable goods new orders has contracted for 10 of the last 11 months and the annual rate of change continue to contract but at a rate of about 4.5 percent. Durable goods spending is still growing at a relatively strong rate and above its historical average.
We track industrial production and its leading indicators for a number of industries. Click on the links below to see how each industry is faring.
Decelerating Growth: aerospace; appliances; automotive; construction materials; custom processors; durable goods; electronics/computers/telecommunications; furniture manufacturing; HVAC; industrial motors/hydraulics/mechanical components; medical; off-road/construction machinery; petrochemical processors; plastic/rubber products; power generation; textiles/clothing/leather goods; wood/paper products
Accelerating Contraction: forming/fabricating (non-auto); machinery/equipment; metalcutting job shops; military; oil/gas-field/mining machinery; primary metals; pumps/valves/plumbing products; ship building
Decelerating Contraction: noneblog comments powered by Disqus