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Industrial Production in U.S. Drops 0.4% on Sandy Effect

Bloomberg (11/16/12) Lorraine Woellert

Industrial production in the U.S. unexpectedly declined in October as Hurricane Sandy knocked out power in the Northeast. Output at factories, mines, and utilities dropped 0.4% last month after a revised 0.2% increase in September that was smaller than previously estimated, according to data released today by the U.S. Federal Reserve. Economists forecast a 0.2% gain, according to the Bloomberg survey median. The central bank said the storm cut total production by almost one percentage point.