August Industrial Production Surprisingly Flat as Manufacturing Output Falls

01:30 PM EDT, 09/18/2026 (MT Newswires) -- US industrial production unexpectedly held steady in August as manufacturing output fell after rising for seven straight months, Federal Reserve data showed Friday. Industrial output was nearly flat sequentially last month, following a 0.2% gain in July, according to the Fed. The consensus was for a 0.3% increase in August in a survey compiled by Bloomberg. Manufacturing production dropped 0.3% last month, following seven straight monthly gains, the Fed said. Wall Street was looking for a 0.3% rise. Durable manufacturing output turned negative in August amid declines in most categories. The nondurable component was unchanged. Mining output edged up 0.1% last month, while utilities increased 1.8%, with the electric component seeing a 2.1% gain, the data showed. Earlier this month, two separate surveys showed that US manufacturing sector continued to expand in August, with the Institute for Supply Management survey pointing to a slight deceleration sequentially and S&P Global (SPGI) data indicating a steady growth rate. "Manufacturing is still expanding at a healthy pace, but the August details point to some loss of momentum after July's surge," TD Economics Senior Economist Vikram Rai said in a note at the time. "Strong production and low customer inventories remain supportive, while weaker new orders, backlogs and imports suggest growth is likely to moderate rather than accelerate in the near term." Price: 407.78, Change: +3.67, Percent Change: +0.91