New York, February 16 (FinanceEnquiry.com) - US manufacturing output rose 0.7 percent in January after an upwardly revised 1.5 percent gain in December from the previously reported figure of 0.9 percent. Though, overall, the industrial production was flat in January. The struggling housing market also got a boost with home builders nearing a five-year high this month, as per another report on Wednesday.

The positive momentum witnessed in the economy during the past few months is being carried forward leading to a run of fairly upbeat data.
The manufacturing data was buoyed by motor vehicle output that jumped 6.8 percent, although production of utilities went down by 2.5 percent, the second straight month of lower outputs. Mining production also fell 1.8 percent, dampening industrial output last month.

Overall production was better at a 1 percent gain in comparison to the previously reported profit of 0.4 percent. The New York Federal Reserve reported that a gauge of factory activity in New York State went up to its highest level in more than 18 months in February. In January, capacity use in manufacturing rose to 77 percent, which was the highest since April 2008.