The Fed’s aggregate index of U.S. industrial production was unchanged in May and is now up 2.2% from a year ago. All major market and industry groups have increased on a year over year basis, led by Materials markets and the Mining industry.

The total industrial production level is approaching the high it reached pre-recession. Of the 3 major market groups, only Materials production has recovered beyond pre-crisis peak. Of the 3 major industry groups, only Mining production has recovered.

Total industrial capacity is at a historical high.

Industrial production has not yet caught up with capacity this cycle, meaning further investment is not yet necessary.