Share this Post on Twitter

Thursday, September 17, 2009

The Auto Rebound... Now What?

More on yesterday's industrial production jump. The power of government intervention (i.e. Cash for Clunkers). St. Joe News with the details:

Industrial production rose in a fairly broad-based pickup in August, according to the Fed data. The central bank also said production jumped 1 percent in July, twice as much as originally reported. Car manufacturing drove that gain.

Factory output — the single-biggest slice of overall industrial activity — also rose for the second straight month. It posted a 0.6 percent gain in August, following a 1.4 percent rise in July.

Auto production led the way, rising 5.5 percent last month due mainly to the government’s Cash for Clunkers program. That followed a whopping 20.1 percent gain in July.

It will be interesting to see the figures for September.

Source: Federal Reserve