US Industrial Production contracts by 0.1% in July

• Industrial Production in the US contracted in July.
• US Dollar Index stays in negative territory below 98.00.

Industrial Production in the United States (US) contracted by 0.1% on a monthly basis in July, the data published by the Federal Reserve (Fed) showed on Friday. This reading followed the 0.4% increase recorded in June and came in worse than the market expectation for a no change.

"Manufacturing output was unchanged after increasing 0.3 percent in June," the Fed noted in its press release. "Capacity utilization moved down to 77.5 percent in July, a rate that is 2.1 percentage points below its long-run (1972–2024) average."

Market reaction

The US Dollar Index remains in the lower half of its daily range after these data and was last seen losing 0.28% on the day at 97.90.