US industrial production jumped 0.9% MoM and 0.5% YoY in December, above expectations of an 0.3% MoM increase. The annual increase of 0.5% YoY is the strongest since June and the first positive reading since August. Manufacturing production also beat expectations, up 0.6% MoM vs 0.2% MoM expected.

Consumer goods production advanced 0.5% MoM, and business equipment production increased 1.4% MoM (though was still down -4.3% YoY). Intermediate goods production was stronger as nonindustrial supplies production grew 0.9% MoM and materials production was up 1.2% MoM. Total capacity utilization improved to 77.6% after weak October and November readings.