Industrial Production & PPI
Industrial production rose 0.8% in November vs. 0.6% consensus and 0.1% rise in October. Capacity utilization was at 71.3% in November vs. 71.2% consensus and 70.7% level in October. So, moderate surprise to the upside.
Producer prices rose 1.8% on a monthly level and 2.7% on a year level. If we take food and energy out the figures would be 0.5% and 1.2%. On first look an improvement, but if we look at the details, still weak pricing power by the producers.
Foreign demand for long-term U.S. Securities fell almost 50% in October to $20.7bn. The decreased demand evidently leaded to steepened curve in last weeks.
Industrial Production, PPI, U.S. Capacity Utilization Rate, U.S. Treasury Bonds