Industrial production unexpectedly climbed in February as factories and fossil fuel drills started humming again after winter weather disruptions in the prior month.
Industrial production rose 0.1 percent in February, the Federal Reserve said Friday. Economists had expected production to be flat with the prior month.
The January reading, however, was revised sharply lower. The prior estimate of a 0.1 percent decline was revised to show a 0.5 percent decline.
The decline in January was the second in five months. It stirred worries that the economic growth may have been stalling after growing much faster than expected in the second half of last year. But many analysts said that the decline was likely do to winter storms, a view supported by the rebound in February.
Manufacturing production rose 0.8 percent in February. The previous estimate of a 0.5 percent decline was revised to show a 1.1 percent contraction in January. Compared with a a year ago, factory output is down 0.7 percent.
Mining output rose by a sharp 2.2 percent in February, partly reversing the 2.9 percent decline in the prior month. Compared with a year ago, mining output—which includes oil and gas extraction—is up 1.4 percent.
The warm weather in February slowed down the utility sector just as the cold had provided a boost in the prior month. Utilities output fell 7.5 percent in February after rising 7.9 percent in January.
The numbers are seasonally adjusted but unusually harsh or mild weather can still swing output significantly.
Motor vehicles and parts production rose 1.8 percent after declining 3.8 percent in the prior month. Excluding autos, overall industrial output was flat in February.Factory out
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