Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Economic Watch: Factory Output, Consumer Sentiment Decline

U.S. industrial production fell 0.3% in April for its fifth consecutive monthly loss, according to a Federal Reserve report issued Friday.

Evan Lockridge
Evan LockridgeFormer Business Contributing Editor
May 17, 2015
Economic Watch: Factory Output, Consumer Sentiment Decline

 

3 min to read


U.S. industrial production fell 0.3% in April for its fifth consecutive monthly loss, according to a Federal Reserve report issued Friday.

The manufacturing output component was unchanged in April after recording an upwardly revised gain of 0.3% in March.

Ad Loading...

The index for mining moved down 0.8%, its fourth consecutive monthly decrease. A sharp drop in oil and gas well drilling has more than accounted for the overall decline in mining this year, according to the Fed.

The output of utilities fell 1.3% in April.

On a more encouraging note, at 105.2% of its 2007 average, total industrial production in April was 1.9% above its year-earlier level.

Ad Loading...

Capacity utilization for the industrial sector dropped 0.4 of a percentage point in April to 78.2%, a rate that is 1.9 percentage points below its 1972 through 2014 average.

“From the Fed's perspective, economic reality is once again maintaining a wide spread from the Federal Reserve Open Market Committee's more optimistic forecast for accelerated growth,” said Lindsey Piegza, chief economist at the investment banking firm Sterne Agee. “Keep in mind, after a slow start out of the gate, the economy must now reach and sustain a plus 3% growth rate from here on out to meet even the Fed's new, lowered bar of expectations.”

The Fed has been considering raising interest rates from near-zero for some time, but has indicated it needs to see stronger performance in the American economy before it moves forward with such a plan, especially with an earlier report showing the U.S. economy expanded at an annual rate of just 0.2% in the first quarter of 2015.

Meantime, a separate report, also released Friday, showed a sharp drop in consumer confidence. Numbers from the University of Michigan Survey of Consumers declined from April by 7.6%, with the Consumer Sentiment index reading 88.6.

It also revealed consumers’ feelings on current economic conditions as well as their expectations for the future were down from April, as well.

Ad Loading...

In contrast, all three indicators were up sharply from the same time in 2014.

According to survey Chief Economist Richard Curtin, consumers have become increasingly convinced that there would be no quick and robust rebound following the dismal first quarter performance.

“The decline was widespread among all age and income subgroups as well as across all regions of the country," Curtin said. "In contrast to last year's rapid second quarter revival, this year the economy faces reduced production and employment from lower oil prices, falling exports, and rising imports from a stronger dollar.

"Although this was not the first time in recent years consumers have abandoned expectations for a faster recovery, the data nonetheless suggest that consumers have remained optimistic about their future personal finances and have maintained their buying plans at reasonably high levels."

More Fleet Management

Geotab screen on AI concept background
Fleet ManagementJune 17, 2026

What Geotab's New AI Connector Means for Fleets

Fleets can now ask their usual AI assistants questions about maintenance, safety, fuel use, and vehicle performance, using their live Geotab data, and take action on the answers without leaving their preferred AI tool.

Read More →
Image of computer screen with BidBoardX interface

New C.H. Robinson Tool Opens Door to More Predictable Freight

BidBoardX lets carriers search, bid on, and secure committed freight opportunities through a single digital marketplace.

Read More →
Amazon electric cargo bike on New York City street
Fleet ManagementJune 15, 2026

New York City's Microhub Project is Delivering Results

Trucking, last-mile delivery companies, and environmental advocates like what they are seeing so far with New York's microhub program.

Read More →
Ad Loading...
Illustration of hourglass and trucks backed up to a dock
DriversJune 15, 2026

Why Truck Detention Keeps Costing Fleets Time and Money

A 2024 ATRI study found detention affects nearly 40% of truckload stops and costs the industry more than $15 billion annually. Despite the toll on drivers, fleets, and supply chains, the problem remains stubbornly persistent.

Read More →
Panel discussion
Fleet Managementby Deborah LockridgeJune 12, 2026

Time is Running Out to Apply for Exclusive HDT Event

Heavy Duty Trucking Exchange brings fleet managers and suppliers together for the deeper conversations that lead to ideas, partnerships, and solutions. Time is running out to apply for the September event.

Read More →
Empty trailer with worker loading a pallet of cargo
Fleet ManagementJune 10, 2026

Amazon Launches Less-Than-Truckload Freight Offering for All Businesses   

This launch is the latest addition to Amazon Supply Chain Services, a portfolio of supply chain capabilities from Amazon, including freight, distribution, fulfillment, and parcel shipping.

Read More →
Ad Loading...
Stacks of intermodal containers at port with truck driving between them

Import Cargo Volume to See Year-Over-Year Gain Again in June, Then Remain Below 2025 Levels Into Fall

After July, the report predicts a weakening in import volume as consumer uncertainty remains high and the impact of increasing inflation takes its toll.

Read More →
Equity Interest Auction
SponsoredJune 8, 2026

AUCTION OF EQUITY INTEREST IN HEAVY HAUL TRUCKING COMPANY!!

Mark your calendar: June 30, 2026 (10:00 a.m. PDT). A 37.5% ownership interest in MagnaTrans, LLC, a California limited liability company doing business as Magna Transportation Group, will be sold in an in-person and online auction to the highest bidder or bidders under Article 9 of the Uniform Commercial Code. The Rancho Cucamonga-based heavy haul and over-dimensional trucking company operates across California, Oregon, and Arizona.

Read More →
Volvo OTA updates.

Volvo Trucks Adds Unattended Over-the-Air Software Update Capabilities

The latest evolution of Volvo’s over-the-air update technology allows software updates to run while trucks are parked, helping fleets keep vehicles current without disrupting operations.

Read More →
Ad Loading...
Podcast thumbnail illustration
Fleet ManagementJune 4, 2026

How Waste Connections is Using Data, Telematics, and AI

How do you manage and maintain more than 18,000 connected trucks? Data. Lots of it.

Read More →