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Macro Pulse highlights recent activity and events expected to affect the U.S. economy over the next 24 months. While the review is of the entire U.S. economy its particular focus is on developments affecting the Forest Products industry. Everyone with a stake in any level of the sector can benefit from
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Monday, November 17, 2014

October 2014 Industrial Production, Capacity Utilization and Capacity

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Industrial production edged down 0.1% in October after having advanced 0.8% in September. In October, manufacturing output increased 0.2% for the second consecutive month. The index for mining declined 0.9% and the output of utilities moved down 0.7%. At 104.9% of its 2007 average, total industrial production in October was 4.0% above its level of a year earlier. Wood Products output rose by 0.8% while Paper fell 0.2%. 
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Capacity utilization for the industrial sector decreased 0.3 percentage point in October to 78.9%, a rate that is 1.2 percentage points below its long-run (1972–2013) average; Wood Products and Paper rose by, respectively, 0.3 and 0.1%. 
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Capacity at the all-industries and manufacturing levels moved higher by, respectively, 0.3 and 0.2%. Wood Products extended its ongoing upward trend (since July 2013) when increasing by 0.4%. Paper, on the other hand, contracted by 0.2% to another new low.
The foregoing comments represent the general economic views and analysis of Delphi Advisors, and are provided solely for the purpose of information, instruction and discourse. They do not constitute a solicitation or recommendation regarding any investment.

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