Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Total industrial production fell 0.2% m/m in September, a touch below our forecast (-0.1%) and in line with consensus expectations. Manufacturing output (-0.1% m/m, previous: -0.4%), which accounts for three-quarters of total industrial production, fell less than expected in September. Motor vehicle and parts production rose 0.2% m/m (previous: -5.4%), against expectation of a modest decline.
Durable goods manufacturing was down 0.2% m/m, and nondurables were flat on the month. Outside of the manufacturing sector, utilities output rose as expected (1.3% m/m, previous: 1.4%) and mining fell 2.1% m/m (previous: 0.0%). Oil and gas well drilling, the detailed series within the mining sector that tracks rig counts, was down 3.8% m/m (previous: +1.5%).
"Despite the smaller-than-expected decline for manufacturing output in September, we continued to see the sector as facing considerable headwinds from a stronger dollar, lower energy prices, and slowing growth abroad. Manufacturing output is a relatively modest share of total output for the US, however, and we do not expect the recent slowing to lead to a broader pullback in aggregate growth, as service sector activity remains solid. The details of the September industrial report that affect our GDP tracking estimate were close to our expectations and leave our Q3 estimate unchanged at 1.2%",says Barclays.
