Capacity Utilization Flat for the Month of October 2012: Mining Industry has Bright Future

The capacity utilization rate was basically flat at 77.8% for the month of October 2012. Due to hurricane "Sandy", it is estimated that total output dropped 1%, resulting in a lower capacity utilization compared to the capacity utilization rate of 78.2% the previous month.

There is one positive area though and that's the mining sector. The capacity utilization rate in the mining industry increased to a 4 year high of 90.4. This is 3.1% above its historical average.

To see what this means go here.

In an interview with David Morgan this week we noticed that the silver mining supply wouldn't be able to keep up with the demand in the coming years. He forecasts that we will come into a silver deficit starting from the year 2014.