United States industrial production rose by .9% in January.  The market had been forecasting a rise of .8%.  The increase beat December’s rise of .7% and was largely helped by manufacturing.  The manufacturing sector jumped 1% with a large portion of their jump attributable to the auto sector which realized a 4.9% increase.

The equities market found this news to be very promising as the S&P 500 closed up approximately .307%.

Industrial production wasn’t the only upbeat news today as housing starts rose 2.8% after December’s numbers were revised.  Interestingly, housing permits dropped 4.9% - possibly backlash from their 10%+ increase in December.  The winter months are known to not yield the best “view” of the housing market as cold, unstable weather makes it difficult for construction to continue.  January was not as cold as December, but I wouldn’t be surprised if housing starts pull back for February as February has been filled with snow storms for much of the nation.  Regardless, today was a “fair weather” for investors.