Sunday, October 20, 2019
GM strike pushed US factory output down 0.5% in September
As a result of he strike from General Motors there was a considerable decline in auto production, This along with other struggles led the US factory output to fall 0.5% in September. The Federal Reserve reported last Tuesday that manufacturing production fell 0.9% over the last 12 months. There was a 4.2% decline in auto production last month and total industrial production slipped 0.4% in September.
Subscribe to:
Post Comments (Atom)
The US factory output decreasing by 0.5% in September seems to be a lower number than others may expect. With the ongoing trade war with China, consumption was expected to decrease. There is definitely economic slow-down occurring, but not in the capacity to be overly concerned. Given historical data, as well as the rate at which the economy has been growing since 2009, a decline in production seems reasonable. GM will eventually settle their dispute with their union workers and that will assist in improving growth numbers for future production. I don't think any economic policy should be put in place currently, such as lowering interest rates to force further growth.
ReplyDelete