Manufacturing production rose 1.2% in October, exceeding Wall Street expectations and rebounding from declines in August and September, according to the Federal Reserve.
Why it’s happening: Much of the bounce-back is due to recovery efforts following Hurricane Ida.
Another jump: Overall manufacturing production has increased 4.5% year-over-year, with a 1.3% increase relative to February 2020, just prior to the outbreak of the pandemic.
Automakers see growth: Even production in the hard-hit auto sector increased 0.4% in October, after falling 3.0% and 7.1% in August and September, respectively, owing to the global chip shortage.
Overall: “Eight of the major manufacturing sectors have experienced increased production since February 2020,” said NAM Chief Economist Chad Moutray. “This included sizable gains in output post-pandemic in aerospace and miscellaneous transportation equipment (up 14.6%), computer and electronic products (up 10.4%), apparel and leather goods (up 5.8%), chemicals (up 5.7%), miscellaneous durable goods (up 4.9%), machinery (up 3.5%), primary metals (up 2.4%) and wood products (up 1.6%).”