After a huge disappointment ( and biggest decline in a year) in April, May's US Industrial Production was expected to rebound modestly but it beat expectations of a 0.2% gain, rising 0.4% MoM.

It has been an ugly few months for industrial production but this rebound is the biggest MoM jump since Nov 2018.

Factory production rose 0.2% in May after falling 0.5% in April but the biggest driver of IP gains in May was a 2.1% spike in Utilities... not exactly a reflection of a humming economy, and we would not rely on this being sustainable...

U.S. May Oil and Gas Drilling Fell 4% MoM and May consumer energy products posted a rise of 1.5% MoM after falling 4.4% in April.

On a year-over-year basis, industrial production growth rebounded from its weakest since Feb 2017

This is not the rebound in economic data that markets are hoping for as, like retail sales, it weakens The Fed's case for an "insurance" cut. We await the proclamation that, like inflation's dip, this rebound in production is transitory too...