Industrial Production 3MMA at Highest Value Ever

Industrial production and manufacturing capacity utilization, both of these data points are reported in the Federal Reserve G17 data base. The IP Index was reported as 104.86 for October a decline of 0.11 percent from September. This is another example where the individual months result can be misleading. The three month moving average (3MMA) was 104.65 which was the highest value ever and the fifth straight month where the growth of the 3MMA exceeded 4 percent year over year. This was the eleventh consecutive month for the index to exceed the pre-recession peak of September 2007. The 3MMA has expanded for 23 straight months and is up by 4.1 year over year. Data is seasonally adjusted. This index is based on the July 2007 level being defined as 100 (Figure 1).