01:00 PM EST, 01/17/2025 (MT Newswires) -- US industrial production rose more than expected in December while the pace of manufacturing output accelerated, data from the Federal Reserve showed Friday.

Industrial output rose 0.9% last month following a 0.2% increase in November. The consensus was for a 0.3% increase in a survey compiled by Bloomberg. Annually, industrial production gained 0.5% in December.

Manufacturing output rose 0.6% last month after a 0.4% gain in November. The index for durable manufacturing gained 0.6% representing its second consecutive month of growth, according to the Fed's report. Nondurables rose for the third straight month, at 0.7%.

"The sharp rebound in industrial production in December was flattered by the recovery in production at Boeing ( BA ) now that the strike is over, as well as a rebound in utilities and mining output," Oxford Economics Deputy Chief US Economist Michael Pearce said in remarks emailed to MT Newswires. "Stripping out those factors, underlying manufacturing output is still recovering only slowly."

Within durables, motor vehicle and parts and machinery output fell back into negative territory on a monthly basis. Aerospace and miscellaneous transportation equipment production accelerated to a 6.3% increase from a 0.5% rise in November.

"Aerospace output is still running well below pre-strike levels and will continue to recover over coming months, while higher global oil prices and unseasonably cold weather in January will continue to boost mining and utilities output in the near-term," according to Pearce.

Nondurable production was pushed up by growth across all components, led by petroleum and coal products, followed by printing and apparel.

Mining output returned to positive territory last month with a 1.8% increase. Utilities output rose 2.1% in December versus a 0.7% decrease in the month prior, boosted by a 6.2% increase in natural gas, the Fed report showed.

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