December represented the most encouraging gains for the 2012 calendar year, following a weak performance by the sector during the spring...
Boston MA (PRWEB) January 25, 2013
LeaseQ, one of the leading providers of business and commercial equipment leasing in the United States, is reporting an increase in the level of industrial production in the US during the month of December 2012. This was the highest level that has been recorded since mid 2008 and was largely driven by increases in manufacturing and mining projects.
Industrial output increased last month by about 0.3%, according to the Federal Reserve, with capacity utilization moving forward to 78.8%, up slightly from the previous month. Overall industrial production, which includes mining, manufacturing, and utility output, demonstrated an increase of 2.2% from just a year earlier.
December represented the most encouraging gains for the 2012 calendar year, which was viewed as a positive development following a weak performance by the sector during the spring as it struggled to regain its momentum. Manufacturing output increased on the order of 0.8% from November and is solidly up 2.4% from the same time last year.
Computer and electronic products, primary metals, and motor vehicles and parts saw their output rise by more than 1%. Motor vehicle production climbed 4.3%
Much of the holdback on investments has been the result of economic uncertainty as well as spending policies in Washington DC. Several other surveys and studies offer a mixed picture for the industry.
Payrolls in the manufacturing sector rose by about 25,000 in December, according to the Labor Department, with the Institute for Supply Management’s manufacturing manager’s index increasing to 50.7 in December from 49.5 in November. A reading above 50 indicates expanding activity.
The Federal Reserve Bank’s State Manufacturing Survey, released last week, demonstrated that the state of New York’s manufacturing activity continued to contract and labor markets remained weak. Reports from other areas were decidedly mixed.
Mining output rose 0.6% and utilities dropped 4.8% as the unseasonably warm weather suppressed the demand for heating. The service sector, which makes up the majority of the US economy, is not reflected in the industrial production figures.
Based in Boston MA, LeaseQ is one of the leading providers of business and commercial equipment leasing in the US, offering a variety of options designed to assist both Fortune 500 corporations as well as small business start ups.