Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



New Orders Dip 1.0% for Durable Goods

New orders for durable goods fell 1% to $225 billion for January, according to a Commerce Department report (link opens as PDF) released today. Much of the decline was driven by a 20.2% drop in demand for commercial aircraft, a volatile month-to-month category. Orders for all transportation-related equipment fell 5.6%. 

After December's 4.3% dip was revised to -5.3%, January's decrease proved slightly better than expected. Overall, analysts had predicted a 1.6% decline. Durable goods are items meant to last at least three years.


Excluding volatile transportation orders (which include aircraft), January's numbers look even better. Analyst expectations called for a slightly more subdued 0.4% decline, but actual orders saw 1.1% growth, meaning that most of the dip was due to transportation. Specifically, nondefense aircraft orders dropped 20.2% as airlines continue to close up shop on new orders.

As overall new orders declined, so did shipments and nondefense new orders for capital goods. Shipments decreased 0.4% for the second straight month of declines, while capital goods took a 3.9% dip.

In a sign of some hope ahead, both unfilled orders and inventories expanded. Unfilled orders edged up 0.1% for 11 months of increases over the last year, while inventories grew 0.3%. Both unfilled orders and inventories stand at their highest levels since data were first collected in 1992.

-- Material from The Associated Press was used in this report.



Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2857285, ~/Articles/ArticleHandler.aspx, 8/29/2015 3:11:02 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Justin Loiseau

Energy and Macroeconomic Specialist keeping investors up to date with macro news, utilities, and good companies doing good things.

Today's Market

updated 17 hours ago Sponsored by:
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 1.21 0.06%
NASD 4,828.33 15.62 0.32%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes