U.S. Durable Goods Orders See Sharp Decline in June
(MENAFN) U.S. durable goods orders suffered a sharp decline of 9.3% in June compared to May, marking the steepest monthly drop in over five years, according to data released Friday by the Census Bureau.
The value of new orders for manufactured durable goods—which track future manufacturing activity based on new purchase orders—fell by $32.1 billion, bringing the total to $311.8 billion for the month.
This sharp drop follows a strong 16.5% surge in May, which was revised upward. June’s result also came in below economists’ expectations, who had predicted a 10.4% decline.
Transportation equipment was the main driver of the downturn, plunging 22.4%, with nondefense aircraft and parts orders collapsing by 51.8%.
The weakness extended to other sectors as well, with capital goods orders falling 22.2%, and nondefense capital goods down 22%.
When defense-related orders are excluded, new orders still dropped by 9.4% month-over-month in June.
However, stripping out the volatile transportation category, new orders actually saw a modest rise of 0.2% during the same period.
Legal Disclaimer:
MENAFN provides the
information “as is” without warranty of any kind. We do not accept
any responsibility or liability for the accuracy, content, images,
videos, licenses, completeness, legality, or reliability of the information
contained in this article. If you have any complaints or copyright
issues related to this article, kindly contact the provider above.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
