US Durable Goods Orders Above Expectations

New orders for US manufactured durable goods went up 1.7 percent month-over-month in February of 2017, following an upwardly revised 2.3 percent jump in January and beating market expectations of a 1.2 percent rise. Civilian aircraft orders surged 47.6 percent and were the main driver of the increase. Non-defense capital goods orders excluding aircraft, a closely proxy for business spending plans, fell 0.1 percent after edging up 0.1 percent in the previous month.
US Census Bureau | Joana Taborda | joana.taborda@tradingeconomics.com 3/24/2017 12:44:51 PM
Excluding transportation, new orders increased 0.4 percent. Excluding defense, new orders increased 2.1 percent. Transportation equipment, also up two consecutive months, led the increase, $3.3 billion or 4.3 percent to $80.4 billion. 

Shipments of manufactured durable goods, up three of the last four months, increased $0.6 billion or 0.3 percent to $239.2 billion. This followed a 0.1 percent January decrease. Machinery, also up three of the last four months, led the increase, $0.3 billion or 0.9 percent to $31.1 billion. 

Unfilled orders for manufactured durable goods in February, down eight of the last nine months, decreased $0.2 billion or virtually unchanged to $1,114.7 billion. This followed a 0.3 percent January decrease. Transportation equipment, also down eight of the last nine months, drove the decrease, $1.1 billion or 0.1 percent to $752.7 billion. 

Inventories of manufactured durable goods in February, up three of the last four months, increased $0.8 billion or 0.2 percent to $385.1 billion. This followed a 0.1 percent January increase. Transportation equipment, up following two consecutive monthly decreases, led the increase, $0.2 billion or 0.1 percent to $122.9 billion.

Nondefense new orders for capital goods in February increased $2.9 billion or 4.1 percent to $72.9 billion. Shipments decreased less than $0.1 billion or 0.1 percent to $72.1 billion. Unfilled orders increased $0.8 billion or 0.1 percent to $690.1 billion. Inventories increased $0.4 billion or 0.2 percent to $171.0 billion. Defense new orders for capital goods in February decreased $0.8 billion or 8.3 percent to $9.2 billion. Shipments increased $0.5 billion or 5.1 percent to $11.4 billion. Unfilled orders decreased $2.2 billion or 1.6 percent to $137.8 billion. Inventories increased $0.3 billion or 1.2 percent to $21.5 billion. 

US Durable Goods Orders Above Expectations