Industrial Production Down in September

Washington, DC, Oct. 18, 2010 -- Industrial production fell in September for the first time since the recession ended, the Federal Reserve reported.

The Fed said that output at the nation's factories, mines and utilities dropped 0.2% last month.

Industrial production grew 4.8% in the July-September quarter, slower than the 7% gains in each of the first two quarter of this year.

Factory output, the largest element of industrial production, fell 0.2% last month. Manufacturing posted monthly gains for the first year after the recession ended in June 2009. But since then it has fallen twice in the past four months.

Production of construction and consumer goods dropped last month as high unemployment made Americans reluctant to spend.

American factories were operating at 74.7% of their capacity in September, down 0.1% from August. That was the first drop since June 2009.