Industrial output rose 1.0 pct in February

WASHINGTON (Reuters) - U.S. industrial output posted its biggest gain in more than a year, rising a much larger-than-expected 1.0 percent in February, fueled by motor vehicles, high-tech and utilities, a government report said on Friday.

Analysts had widely anticipated a rebound but the gain was five times bigger than Wall Street expectations of a 0.2 percent increase seen in a Reuters poll of economists.

January was upwardly revised to a drop of 0.3 percent after previously being reported down 0.5 percent, the Federal Reserve said. A gain in December was also revised upward.

February's output advance was the biggest since a 1.1 percent gain in November 2005.

Motor vehicle and parts production rose 3.1 percent in February, partly offsetting a 5.8 percent drop in January. Manufacturing as a whole rose 0.4 percent after a 0.5 percent decline the prior month.

Nonetheless, motor vehicle and parts output was down 3.3 percent from a year ago.

Manufacturing output excluding motor vehicles and parts was up a solid 0.8 percent in February.

Utility output climbed 6.7 percent, the biggest gain since a 7.0 percent rise in December 1989, after a 2.2 percent increase the prior month.

Mining production edged up 0.1 percent after falling 1.3 percent the prior month.