US Durable Goods Orders Flat in August

New orders for US manufactured durable goods were unchanged in August from July of 2016, following a downwardly revised 3.6 percent gain in the previous period and better than market expectations of a 1.4 percent fall. Yet, non-defense capital goods orders excluding aircrafts, a proxy for business spending increased 0.6 percent, the third consecutive gain.
US Census Bureau | Joana Taborda | joana.taborda@tradingeconomics.com 9/28/2016 12:47:10 PM
Excluding transportation, new orders decreased 0.4 percent and excluding defense, orders shrank 1.0 percent. Electrical equipment, appliances, and components, down following two consecutive monthly increases, drove the decrease, $0.2 billion or 2.5 percent to $9.6 billion. 

Shipments of manufactured durable goods, down following two consecutive monthly increases, decreased $0.8 billion or 0.4 percent to $231.7 billion. This followed a virtually unchanged July increase. Transportation equipment, down three of the last four months, drove the decrease, $0.9 billion or 1.1 percent to $79.9 billion.

Unfilled orders for manufactured durable goods, down three consecutive months, decreased $1.5 billion or 0.1 percent to $1,123.4 billion. This followed a 0.2 percent July decrease. Transportation equipment, also down three consecutive months, drove the decrease, $1.8 billion or 0.2 percent to $769.2 billion. 

Inventories of manufactured durable goods, up two consecutive months, increased $0.5 billion or 0.1 percent to $383.7 billion. This followed a 0.4 percent July increase. Machinery, up two of the last three months, led the increase, $0.3 billion or 0.5 percent to $65.7 billion. 

Nondefense new orders for capital goods decreased $3.1 billion or 4.4 percent to $66.9 billion. Shipments decreased $1.4 billion or 1.9 percent to $70.1 billion. Unfilled orders decreased $3.1 billion or 0.4 percent to $696.3 billion. Inventories increased $0.3 billion or 0.2 percent to $169.7 billion.

Defense new orders for capital goods in August increased $2.3 billion or 23.6 percent to $11.9 billion. Shipments decreased $0.2 billion or 2.3 percent to $10.3 billion. Unfilled orders increased $1.5 billion or 1.1 percent to $137.2 billion. Inventories decreased $0.4 billion or 2.0 percent to $20.7 billion. 

US Durable Goods Orders Flat in August