US Industrial Production below expectations in September

US Industrial production rose less than expected in September, suggesting the economy grew at a moderate annual pace in the Q3. The Federal Reserve revealed on Monday the country's industrial output advanced 0.1% in September, compared to the preceding month's downwardly revised fall of 0.5%, while market analysts anticipated a rebound of 0.3% in the reported period. On an annual basis, industrial production increased 1.8% in the Q3, marking the first quarterly rise since the Q3 of 2015. 

Manufacturing output rose 0.2% in September after falling 0.5% in the prior month. Motor vehicle and parts production edged up 0.1 percent. Manufacturing production rose at a 0.9 percent rate in the third quarter.
The industrial sector was badly hurt by the strengthening US Dollar and surging price of oil between June 2014 and December 2015. Also, it was hampered by businesses' efforts to reduce an inventory overhang. However, the recent stabilization of the currency and oil prices suggest a significant rebound in industrial production. 

In addition, capacity utilization for the industrial sector edged up 0.1% in September to 75.4%, a rate that is 4.6% points below its long-run (1972–2015) average.