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IP Revisions Offset Beat With Still Tepid Trend

US DATA
  • Industrial production was stronger than expected in April at 0.5% M/M (cons 0.0) but it was completely offset by prior downward revisions (0.0% from initial 0.4 in Mar, 0.0% from initial 0.2 in Feb).
  • Sizeable swings in utilities production have been muddying month-to-month moves (-3.1% M/M after +8.4%), but manufacturing production has also been volatile as it bounced from -0.8% to +1.0% M/M.
  • Both IP and mfg production have increased 1.4% annualized on a 3m/3m basis but are yet to recoup declines from late 2022.
  • Capacity utilization meanwhile was as expected at 79.7% in April but increased after a downward revised 79.4% (initial 79.8).


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