U.S. manufacturing output witnessed a marginal dip last month amid the Fed’s tightening monetary policy. However, overall capacity utilization for the industrial sector rose to 79.0% from 78.9% in April. Andrew Hunter, the senior U.S. economist at Capital Economics, said, “There is still little in activity data to suggest a recession is on the horizon.”
Additionally, overwhelming demand and the Biden administration’s lucrative investments, like the recently declared $1.30 million for boosting industrial output in Arkansas, are expected to drive growth in the industry.
