Industrial Production Declines in May

Industrial production dipped 0.1% in May in the second decline in three months, the Federal Reserve said Friday.

The downturn in activity at factories, mines and utilities followed a revised 1% climb in April that was originally reported as a 1.1% gain.

Economists had projected a 0.1% increase in May, Bloomberg reported.

Factory production, which makes up three-quarters of the total, fell 0.4%.

Production of automobiles and parts fell 1.5%, following a 4% increase. Factory production excluding autos declined 0.3%.

Capacity utilization, which measures plant output, declined to 79%, from 79.2% in April.

Manufacturing accounts for about an eighth of the U.S. economy and the factory sector is one of trucking’s largest and most important customers.