Both industrial production and capacity utilization are up in the last month and year over year, according to the Federal Reserve Board. This may mean a rise in industrial property demand.
capacity utilization
Industrial Production, Capacity Utilization Up
Marked as a “leading economic indicator” in the Federal Reserve Board’s repository of statistical data, the central bank’s report on Industrial Production And Capacity Utilization sticks out amongst the reams of statistics pumped regularly out by the Fed.
It’s little wonder this report is given the spotlight, since counting the national number of items produced (and the capacity to produce them) results in numbers that speak volumes about the current and potential economic health of the country.
More stuff, goes the theory, means more demand, both for the stuff and for the space and infrastructure to move, warehouse and sell the stuff. And of course it’s the job of the industrial commercial property sector to match that demand for that space with supply. As far as Fed utterances go, industrial practitioners might not have a more important national report to review than the G.17 Industrial Production And Capacity Utilization. (CommercialSource) Industrial Production
