Industrial production in United States rose 0.7 percent in June as factories made more vehicles machines and business equipment, the Federal Reserve said Tuesday.
Factory output recovered to levels reached earlier this spring but appears to be leveling off.
The manufacturing industry has struggled to maintain steady growth this year, but analysts said the news was enough to ease concerns about a slowing economy.
“The economy looks a little better today,” said Phil Flynn with Price Futures Group.
June’s strong results follow a period of shaky growth for the factory sector, which is a crucial contributor to economic expansion. Factory output fell in two of the past four months.
“Production is showing some signs of life,” said Robert Brusca, president of Fact & Opinion Economics in New York, who correctly projected the gain in output. “If you look at all of the data, what you see is an economy that is mixed. The industrial production report is one of the stronger pieces of data we have.”