After six consecutive monthly gains, the Industrial production declined 0.9% month on month, (m/m) in August. Early indications are that hurricane Harvey’s impact reduced the score by 0.75 percentage point.

Total seasonally adjusted (SA), non-inflation adjusted manufacturing inventories totaled $649,086 million (M) at the end of June, up 0.16% month on month, (m/m) and up 4.78% year on year, (y/y).

Overall, durable goods orders have improved, up 4.6% year on year, (y/y). However for the month of July, new orders tumbled 6.8% month on month, (m/m), largely as a function of sharply reduced non-defense aircraft, autos and machine orders.

Manufacturing capacity utilization (MCU), came in at 75.4% in July, flat month on month (m/m), up 0.5 percentage point year on year (y/y). Year to date (YTD), MCU has kept to a very narrow range (75.1% to 75.8%), averaging 75.5%.

The IP index recorded a value of 105.47 in July, up 0.2% month on month (m/m) and by 0.9% year on year (y/y). July’s score was slightly lower than analysts’ consensus expectations. July was the sixth month in a row with either a flat or positive m/m gain.

Manufacturing capacity utilization (MCU), came in at 75.4% in June, flat month on month (m/m), up 0.3 percentage point year on year (y/y). Year to date (YTD), MCU has stayed in a very narrow range (75.3 to 75.7%), averaging 75.4%.