Industrial production rose 0.6% in June, more than expected, according to the Federal Reserve.
Capacity utilization increased to 75.4% from 74.9%.
Robust auto production lifted the consumer durables category, as the output of consumer energy products also jumped.
Manufacturing output rose 0.4% in June. The sector stabilized somewhat from its slowdown as the dollar’s climb slowed and oil prices rose.
But in the second quarter, factory output fell at an annual rate of 1%.
The index for utilities climbed 2.4% due to warmer weather that increased demand for air conditioning.
Economists had forecast that industrial production rebounded to 0.3% after a revised drop by 0.3% in May, according to Bloomberg.
They estimated that capacity utilization increased to 75.1% from 74.9%.