Stagflation Strikes: Industrial Production Sinks As Inflation Surges

After surging in the last few months, US industrial production slumped in January, dropping 0.1% MoM against expectations of a 0.3% rise.

Notably, December's original 0.9% surge in industrial production was revised drastically lower to just 0.4%, making this 0.1% drop in January even more significant...

Manufacturing production was unchanged in January - dramatically below the 0.3% rise expected - as capacity utilization slowed for the first time since August.

This drop in production hits as inflation signals surge suggesting the stagflationary scenario is strengthening.