Connect With PPD
Follow Us:
Sections: Economy

Durable Goods Data Abysmal, Orders Down 4 Out Of 5 Last Months

American workers at a manufacturing plant for long-lasting durable goods. (PHOTO: REUTERS)

The Commerce Department reported Tuesday that durable goods orders dropped 3.4 percent in December, far below economists’ estimates of a 0.5 percent gain. Durable goods orders decreased $8.1 billion, or 3.4 percent to $230.5 billion.

The latest decrease marks a decline in the sector for four of the last five months and follows a 2.1 percent decrease in November. Transportation equipment led the decrease with a $6.8 billion drop, or 9.2 percent to $66.7 billion.

Excluding transportation, which has also been down for the last four out of five months, orders fell 0.8 percent, compared to forecasts of a 0.6 percent increase. Shipments in transportation, which had increased in 3 out of the 4 prior months, increased $2.2 billion, or 3.1 percent to $74.5 billion.

Overall shipments in manufactured durable goods, which had declined for two straight months, increased $2.6 billion, or 1.1 percent to $246.8 billion.

New orders for non-defense capital goods decreased $7.9 billion in December, or 9.7 percent to $73.3 billion. New defense orders for capital goods decreased $0.5 billion, or 5.3 percent to $8.7 billion.

Inventories remain bloated, as they now sit at their highest level since the series was first published on a NAICS basis in 1992. Inventories of manufactured durable goods, which were up twenty of the last twenty-one months, increased $2.0 billion, or 0.5 percent to $410.8 billion. This follows a 0.5 percent increase in November.

New orders for durable goods in November were revised down to $489.3 billion from the initially reported $492.7 billion, while shipments were also revised down to $494.9 billion from $495.7 billion.

READ FULL STORY

SubscribeSign In
PPD Business Staff

PPD Business, the economy-reporting arm of People's Pundit Daily, is "making sense of current events." We are a no-holds barred, news reporting pundit of, by, and for the people.

Share
Published by
PPD Business Staff

Recent Posts

Media’s Worst Russian Collusion Sins May Soon Be Repeated

The most damning journalistic sin committed by the media during the era of Russia collusion…

1 year ago

Study: Mask-Mandates and Use Not Associated With Lower Covid-19 Case Growth

The first ecological study finds mask mandates were not effective at slowing the spread of…

3 years ago

Barnes and Baris on Big Tech’s Arbitrary Social Media Bans

On "What Are the Odds?" Monday, Robert Barnes and Rich Baris note how big tech…

3 years ago

Barnes and Baris on Why America First Stands With Israel

On "What Are the Odds?" Monday, Robert Barnes and Rich Baris discuss why America First…

3 years ago

Personal Income Fell Significantly in February, Consumer Spending Weaker than Expected

Personal income fell $1,516.6 billion (7.1%) in February, roughly the consensus forecast, while consumer spending…

4 years ago

Study: Infection, Vaccination Protects Against Covid-19 Variants

Research finds those previously infected by or vaccinated against SARS-CoV-2 are not at risk of…

4 years ago

This website uses cookies.