According to a senior economist working with a New York-based research firm, the overall outlook for the U.S. economy continues to remain solid. However, there are a few risks that may affect growth in the third quarter of 2014.
The Federal Reserve said that factory production saw a 0.2% rise in October 2014, whereas the factory output for September 2014 was revised to 0.2% from 0.5%.
In the third quarter, the U.S. economy showed a 3.5% rate of growth. Economists opined that it was largely a result of a 1.2% fall in automobile production that caused this dip in output in October 2014. The total slide in automobile output was pegged at 1.9% in September 2014. Besides automobiles, there was also a drop in production volumes of electrical equipment, appliances, nonmetallic mineral products, and other components.
In another report, the NY Federal Reserve stated that there has been a rise in its Empire State general business conditions index. The index jumped from 6.17 in October 2014 to 10.16 in November 2014. The reading—when higher than zero—shows expansion.