Bloomberg reports that industrial production is at it's lowest since 1991.
Manufacturing dropped 2.8% in September.
The Fed Bank of Philadelphia's general economic index plunged to minus 37.5 this month, worse than forecast and the lowest reading since October 1990, from 3.8 in September, the bank said today. Negative readings signal contraction. The index averaged 5.1 last year.
Industrial production fell by much more than expected in the month of September, according to a report released by the Federal Reserve on Thursday, with the report also showing a bigger than expected drop in capacity utilization.
The report showed that industrial production fell by 2.8 percent in September following a revised 1.0 percent decrease in August. Economists had expected production to fall by 0.8 percent compared to the 1.1 percent decrease originally reported for the previous month
Manufacturing Production declined 2.6%.
Mining fell 7.8%.
Capacity Utilization rate, has fallen dramatically.
The bigger than expected decrease reflected a reduction in the capacity utilization rates in the manufacturing and mining sectors, which fell to 74.5 percent and 85.0 percent, respectively. At the same time, capacity utilization in the utilities sector rose to 82.9 percent
So, utilities are going up while manufacturing is laying idle.
The reports try to blame Hurricanes and the Boeing strike but didn't we have a bunch of Hurricanes a couple of years ago?
There is a very good editorial, Manufacturers Know All About Economic Collapse on how manufacturing, the life blood of America is Wall Street and D.C.'s bastard child.
Manufacturers weren't looking for a hand out or a bailout. They only wanted one thing: for the United States government to put the interests of American producers above the interests of foreign countries, foreign producers, importers and the multinational companies that were taking advantage of mercantilist practices in China. American manufacturers wanted the U.S. government to put the interests of American producers ahead of the law firms representing foreign shipping companies, the lobbyists representing Wall Street and, again, the multinational companies that were swimming in record profits by sending their production offshore; all while the critical manufacturing sector was left for dead. "Good riddance," said the financial elite and its power structure: "those jobs sucked anyway."
Those same free-market, capitalist, anti-government, anti-regulation ideological zealots are now begging -- demanding -- that taxpayers give them a trillion dollars for destroying the American economy.