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US industrial output rises again

US industrial production rose for a second straight month in August, reinforcing views the recession had ended, while a spike in petrol costs pushed up USinflation. A Federal Reserve report said industrial production increased 0.8 per cent after gaining one per cent in July. The data came a day after Fed Chairman Ben Bernanke said the economic slump that started in December 2007 was very likely over. Industrial activity last month was boosted by car manufacturing as the “cash for clunkers” programme, which provided incentives to buy new cars, spurred a jump in sales and prompted many carmakers to ramp up output.