Durable Goods Orders Dragged Down By Transportation in July

New orders for manufactured durable goods decreased $4.3 billion or 1.7% to $246.9 billion, the U.S. Census Bureau said Friday. This decrease, down 3 of the last 4 months, followed a 0.7% June increase.

Excluding transportation, new orders increased 0.2%. Excluding defense, new orders decreased 1.0%. Transportation equipment, also down 3 of the last 4 months, fueled the overall decline, falling $4.6 billion or 5.3% to $82.8 billion.

Shipments also declined following 2 consecutive monthly increases, fell $0.5 billion or 0.2% to $250.8 billion. This followed a 1.6 percent June increase. Transportation equipment, down 3 of the last 4 months, drove the decrease, $1.6 billion or 1.9% to $83.9 billion.

Unfilled orders have been up 8 of the last 9 months, and continued to increase $0.1 billion to $1,164.7 billion. This followed a 0.3% increase in June.

Inventories have been up 18 of the last 19 months, and increased $5.0 billion or 1.3% to $408.3 billion in July. This followed a virtually unchanged June decrease. Transportation equipment, up 3 of the last 4 months, led the increase, $4.4 billion or 3.5% to $131.3 billion.