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Macro EconomyMedium•18 February 2026•

1 min read

US Industrial Production Surges in January 2026, Beating Market Estimates

An industrial factory with smokestacks, showing a financial downturn chart on the left and an upturn chart on the right, with 'INDUSTRIAL RECOVERY' text.

US industrial production rose by 0.7% month-on-month in January, significantly outperforming the consensus forecast of 0.4%. The manufacturing sector led the gains with a 0.6% increase, marking its strongest performance since February 2025 and reflecting robust production resilience. On an annual basis, industrial output growth reached 2.3%, the highest level recorded since September 2022. This surge follows a sharp recovery in the ISM Manufacturing index and highlights a broader rebound in "hard" economic data despite previous survey pessimism. Analysts suggest that the strong data underscores economic strength, potentially providing support for the US Dollar (DXY) and Treasury yields. This marks the third consecutive month of expansion, signaling a strong start to 2026 for the American industrial sector.