Budget Talks Made Headway

US equities climbed last Friday after lawmakers claimed that budget talks with the White House were making some headway.

The Dow Jones Industrial Average index gained 45.93 points to close at 12,588.31 while the S&P500 rose 6.55 points to close at 1,359.88.

US industrial production declined for the month of October. Data released showed that industrial output fell 0.4% month-on-month; lower than market estimates of +0.2%.

Analysts speculated that Hurricane Sandy most likely knocked almost a full percentage point off production.

According to the Federal Reserve, “The large estimated storm-related effects included reductions in the output of utilities, of chemicals, of food, of transportation equipment and of computers and electronic products.” Capacity utilization likewise dropped down to 77.8% against market estimates of 78.2%.

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