FOREX TradingCharts.com

Financial News: U.S. Durable Goods Orders Slump 6.8% Amid Pullback

U.S. Durable Goods Orders Slump 6.8% Amid Pullback In Aircraft Demand

08/25/2017 - 09:04:00 (RTTNews)

(RTTNews) - After reporting a sharp jump in new orders for U.S. manufactured durable goods in the previous month, the Commerce Department released a report on Friday showing a sharp pullback in durable goods orders in the month of July.

The Commerce Department said durable goods orders plunged by 6.8 percent in July after surging up by 6.4 percent in June. Economists had expected durable goods orders to slump by 6.0 percent.

The bigger than expected pullback in durable goods orders was due to a steep drop in orders for transportation equipment, which tumbled by 19.0 percent in July after spiking by 19.1 percent in June.

Orders for non-defense aircraft and parts showed a particularly sharp decline, plummeting by 70.7 percent in July after soaring by 129.3 percent in the previous month.

The significant decrease came as aerospace giant Boeing (BA) reported just 22 aircraft orders in July compared to 184 in June.

The report also showed a continued decline in orders for motor vehicles and parts, which fell by 1.2 percent in July after sliding by 0.7 percent in June.

On the other hand, orders for defense aircraft and parts jumped by 47.8 percent in July after climbing by 5.6 percent in June.

Excluding the drop in orders for transportation equipment, durable goods orders increased by 0.5 percent in July after inching up by 0.1 in June. Ex-transportation orders had been expected to rise by 0.4 percent.

The increase in ex-transportation orders reflected notable growth in orders for electrical equipment, appliances, and components, computers and electronic products, and fabricated metals.

The report also said orders for non-defense capital goods excluding aircraft, a closely watched indicator of business spending, rose by 0.4 percent in July after coming in unchanged in June.

Shipments in the same category, which are used to calculate GDP, climbed by 1.0 percent in July following a 0.6 percent increase in the previous month.

Michael Pearce, U.S. economist at Capital Economic, said the steep drop in headline durable goods orders is nothing to worry about, since it entirely reflects a pullback in orders in the volatile aircraft category

"The more important news was that non-defense capital goods orders and shipments both rose strongly in July," Pearce said.

He added, "With business surveys pointing to a further acceleration in core goods orders and business confidence elevated, investment growth looks set remain strong over the rest of this year."

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2017 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


Japan August Trade Surplus Y113.642 Billion (03 hr(s), 12 min(s), 36 sec(s) ago)
(RTTNews) - Japan posted a merchandise trade surplus of 113.642 billion yen in August, the Ministr ...Full Story»

Japan Has Y113.642 Billion Trade Surplus (03 hr(s), 42 min(s), 36 sec(s) ago)
(RTTNews) - Japan had a merchandise trade surplus of 113.642 billion yen in August, the Ministry o ...Full Story»

BRAZIL: Ibovespa Closes Almost Stable Amid Profit-taking And Vale's Drop (03 hr(s), 49 min(s), 36 sec(s) ago)
(RTTNews) - Ibovespa, the benchmark stock index in Brazil, fell 0.02% Tuesday, closing at 75,974.1 ...Full Story»

New Zealand Q2 Current Account Deficit NZ$1.598 Billion (04 hr(s), 12 min(s), 36 sec(s) ago)
(RTTNews) - New Zealand posted a seasonally adjusted current account deficit of NZ$1.598 billion i ...Full Story»

ARGENTINA: Merval Rises 1.31% On Gas Shares (04 hr(s), 24 min(s), 36 sec(s) ago)
(RTTNews) - Merval, the main index of the Buenos Aires Stock Exchange, rose 1.31% Tuesday, closing ...Full Story»

COLOMBIA: Colcap Drops 0.09% On Bancolombia's Poor Performance (04 hr(s), 34 min(s), 36 sec(s) ago)
(RTTNews) - Colcap, the main index of the Colombian Stock Exchange, fell 0.09% Tuesday, closing at ...Full Story»

New Zealand Has NZ$1.598 Billion Current Account Deficit (04 hr(s), 42 min(s), 36 sec(s) ago)
(RTTNews) - New Zealand had a seasonally adjusted current account deficit of NZ$1.598 billion in t ...Full Story»

VENEZUELA: PDVSA And Repsol Reaffirm Strategic Alliance Commitment (04 hr(s), 57 min(s), 36 sec(s) ago)
(RTTNews) - The Venezuelan state-owned oil company PDVSA and Spain's Repsol reaffirmed their c ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

Japan August Trade Surplus Y113.642 Billion

09/19/2017 - 20:46 PM (RTTNews)
(RTTNews) - Japan posted a merchandise trade surplus of 113.642 billion yen in August, the Ministr ...Full Story>>

Japan Has Y113.642 Billion Trade Surplus

09/19/2017 - 20:16 PM (RTTNews)
(RTTNews) - Japan had a merchandise trade surplus of 113.642 billion yen in August, the Ministry o ...Full Story>>

BRAZIL: Ibovespa Closes Almost Stable Amid Profit-taking And Vale's Drop

09/19/2017 - 20:09 PM (RTTNews)
(RTTNews) - Ibovespa, the benchmark stock index in Brazil, fell 0.02% Tuesday, closing at 75,974.1 ...Full Story>>

New Zealand Q2 Current Account Deficit NZ$1.598 Billion

09/19/2017 - 19:46 PM (RTTNews)
(RTTNews) - New Zealand posted a seasonally adjusted current account deficit of NZ$1.598 billion i ...Full Story>>

ARGENTINA: Merval Rises 1.31% On Gas Shares

09/19/2017 - 19:34 PM (RTTNews)
(RTTNews) - Merval, the main index of the Buenos Aires Stock Exchange, rose 1.31% Tuesday, closing ...Full Story>>

Binary Options Articles Courtesy of NADEX

These pages, and all content ©TradingCharts.com Inc and other copyright holders. Permission is not granted to redistribute charts, data, news or other information found on this site, in any manner. Although it is believed that information provided is accurate, TradingCharts will not accept liability for any loss or damage that may arise from use of the content, inability to access the website, or delay or failure of receive of any information provided through this site.