US factory output rebounded in May, latest evidence that manufacturing is boosting growth

Associated Press + More

By CHRISTOPHER S. RUGABER, AP Economics Writer

WASHINGTON (AP) — U.S. manufacturing output rose in May after in shrinking in April, led by greater production of autos, computers and furniture.

The Federal Reserve says factory output rose 0.6 percent in May after dipping 0.1 percent the previous month. April's figure was revised upward from an initial estimate of a 0.4 percent decline.

Americans are buying more cars, and businesses are ordering more machinery and other goods. Those trends are fueling factory production. Auto sales reached a nine-year high in May.

Overall industrial production, which includes manufacturing, mining and utilities, also rose 0.6 percent in May. It had fallen 0.3 percent in April.

Mining output, which includes oil and gas production, jumped 1.3 percent, while utility output declined 0.8 percent, its fourth straight drop.

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