By Canadian Press

US industrial production fell 0.4 per cent in November

Dec 14, 2016 | 5:30 AM

WASHINGTON — U.S. industrial production dropped sharply in November as power plants reduced output because of unusually warm weather.

The Federal Reserve reported Wednesday that output at America’s factories, mines and utilities fell 0.4 per cent last month. It was the biggest decline since March.

Utility output plunged 4.4 per cent, following a 2.8 per cent downturn in October. A warm fall meant Americans used less heat.

Factory output slipped 0.1 per cent. A drop in auto production offset increased output of metals.

Mining production rose 1.1 per cent despite a steep drop in output at coal mines.

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Industrial production has now dropped three of the last four months and has fallen 0.6 per cent in the past year. November’s drop was steeper than economists had expected.

American industry has been hurt by a strong dollar, which makes U.S. goods costlier in foreign markets. Factory production is up just 0.1 per cent over the past year.

Energy companies have slashed production in the face of low oil prices. That is why mining output is down 4.6 per cent since November 2015 despite the uptick last month.

Mines have shed 87,000 jobs over the past year, and factories have lost 54,000.

Paul Wiseman, The Associated Press