According to the latest U.S. manufacturing output figures, a modest rise has been observed in the output in October 2014. This is being pinpointed to a dip in vehicle production for the third month straight. This also indicates sluggishness in economic growth as the fourth quarter of the year kicks in.
However, the figures state that the overall growth remains sturdy, as other data published this week show that New York state is witnessing a rebound in production and manufacturing activity this month.
According to a senior economist working with a New York-based research firm, the overall outlook for the U.S. economy continues to remain solid. However, there are a few risks that may affect growth in the third quarter of 2014.
The Federal Reserve said that factory production saw a 0.2% rise in October 2014, whereas the factory output for September 2014 was revised to 0.2% from 0.5%.
In the third quarter, the U.S. economy showed a 3.5% rate of growth. Economists opined that it was largely a result of a 1.2% fall in automobile production that caused this dip in output in October 2014. The total slide in automobile output was pegged at 1.9% in September 2014. Besides automobiles, there was also a drop in production volumes of electrical equipment, appliances, nonmetallic mineral products, and other components.
In another report, the NY Federal Reserve stated that there has been a rise in its Empire State general business conditions index. The index jumped from 6.17 in October 2014 to 10.16 in November 2014. The reading—when higher than zero—shows expansion.