OUTPUT FALLS: U.S. factories produced less in May than April, as automakers cut back on output for the first time in six months. Manufacturing output fell 0.4 percent last month, the Federal Reserve said. Overall industrial production, which includes mines and utilities, slipped 0.1 percent.

MANUFACTURING SLOWDOWN: Other recent data has also shown that manufacturers are cutting back. Consumers have spent less at retail businesses and companies are buying less industrial machinery and computers.

BROAD DECLINE: Production of computers, machinery, appliances and aircraft all declined. Auto sales boomed earlier this year and output followed suit. But sales slowed in May and auto output fell 1.5 percent.