Tag

shipments

New Durable Goods Orders Expanded for the Second Straight Month, Continuing to Show Progress

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new durable goods orders expanded for the second straight month, up 1.7 percent in February after rising by 2.3 percent in January. New orders increased from $231.53 billion in January to $235.39 billion in February, a four-month high. However, much of the gain in February could be explained by a large jump in nondefense aircraft and parts orders, up 47.6 percent, which can often be quite volatile from month-to-month. Excluding transportation, new orders for durable goods rose 0.3 percent for the month, up from $154.41 billion to $154.99 billion. Overall, new durable goods demand has continued to trend in the right direction after stalling for much of the past couple years. New durable goods orders have increased 5.1 percent since February 2016’s $224.08 billion pace; excluding transportation, orders grew 4.6 percent year-over-year, up from $148.14 billion. Read More

Factory Orders Increased for the Second Straight Month in January to Highest Level in 18 Months

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new factory orders increased for the second straight month in January, up 1.2 percent. This was the highest level of new orders since July 2015. A large percentage of that gain stemmed from sizable growth in defense and nondefense aircraft sales, as noted in the earlier release of preliminary durable goods figures. In addition, manufactured goods orders increased 0.4 percent when transportation equipment orders were excluded. More importantly, new factory orders, which have struggled mightily over the past few years, have begun to move in the right direction, up 3.8 percent since January 2016. Excluding transportation, the gains were even larger, up 6.0 percent year-over-year. Read More

Strong Aircraft Sales in January Help New Durable Goods Orders Rebound

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new durable goods orders rose 1.8 percent in January, up for the first time in three months. New orders increased from $226.3 billion in December to $230.4 billion in January. However, volatility in the transportation equipment segment, which can often have large shifts from month to month, skewed the data. Defense and nondefense aircraft and parts orders jumped 59.9 percent and 69.9 percent, respectively, in January. Excluding transportation, new orders for durable goods fell 0.2 percent for the month, down from $154.3 billion to $153.9 billion. To be fair, December’s level, which had been the fastest pace since September 2014, appeared to be a bit of an outlier. Over the past 12 months, new durable goods orders declined 0.6 percent; however, this figure grew 2.4 percent year-over-year when excluding transportation equipment. As such, the broader durable goods market—outside of aircraft—continues to improve somewhat after struggling mightily over the past two years on global challenges. Read More

Reduced Transportation Equipment Sales Pushed Durable Goods Orders Lower in December

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new durable goods orders declined 0.4 percent in December. New orders decreased from $228.0 billion in November to $227.0 billion in December. However, these data have been skewed by volatility in the transportation equipment segment. Defense aircraft and parts orders plummeted 63.9 percent in December after soaring by 99.1 percent in November. Excluding transportation, new orders for durable goods were up 0.5 percent, rising from $152.6 billion to $153.4 billion, its fastest pace since October 2014. In general, these data reflect better performance after the sector has struggled mightily over the past two years on global challenges. On a year-over-year basis, new durable goods orders have risen 1.6 percent, with 3.5 percent growth since December 2015 excluding transportation equipment. Read More

Factory Orders Fell for the First Time Since June in November

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new factory orders fell 2.4 percent in November, declining for the first time since June. Yet, the decrease in November came largely from a drop in nondefense aircraft sales, which can be highly volatile from month-to-month. Excluding transportation equipment, new orders for manufactured goods edged up 0.1 percent. Over the longer term, new factory orders have started to stabilize on a year-over-year basis. While orders were off 0.3 percent since November 2015 that represents progress from the 5.8 percent year-over-year declines seen in June. More positively, new factory orders excluding transportation have risen 1.45 percent over the past year in this report, only the second monthly year-over-year increase. Read More

Factory Orders Grew at Fastest Monthly Pace in October in 16 Months

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new factory orders rose 2.7 percent in October, the fourth straight monthly gain and its fastest pace of monthly growth since June 2015. Yet, the jump in October came largely from a big boost in aircraft sales, with transportation equipment orders up 12.0 percent. Excluding transportation, new orders for manufactured goods increased 0.8 percent. Over the longer term, new factory orders have started to stabilize on a year-over-year basis, up 1.3 percent since October 2015 but improving from a negative year-over-year position in August. Nonetheless, new orders for manufacturing goods excluding transportation have risen just 0.5 percent over the past 12 months. This suggests still-soft demand in the broader manufacturing sector, even as this was the first positive year-over-year reading since October 2014. Read More

New Durable Goods Orders Jumped 4.8 Percent in October

By | Economy, Shopfloor Economics, Shopfloor Main | No Comments

The Census Bureau said that new durable goods orders jumped 4.8 percent in October. New orders rose from an upwardly revised $228.4 billion in September to $239.4 billion in October. On a year-over-year basis, sales have increased 2.1 percent since October 2015, up from $234.5 billion. However, the data have been skewed by volatility in the transportation equipment segment. In October, transportation equipment orders soared 12.0 percent higher on strong sales for defense and nondefense aircraft and parts. Excluding transportation, new orders for durable goods increased 1.0 percent in October, but over the past 12 months, growth in activity has been more minimal, up just 0.3 percent.

Therefore, even with the healthy gains in demand seen in October, new orders growth for durable goods continue to be quite weak on a year-over-year basis, highlighting lingering challenges in the sector. Along those lines, core capital goods orders (or nondefense capital goods excluding aircraft) increased 0.4 percent in October, but have fallen 4.0 percent over the past 12 months. Read More

Factory Orders Edged Higher in September but Remain Soft Over the Past Year

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new factory orders rose 0.3 percent in September, slowing slightly from the 0.4 percent gain seen in August. These data were pulled somewhat lower by a sharp decline in defense aircraft and parts, with transportation equipment orders down 1.1 percent. Excluding transportation, new orders for manufactured goods increased 0.6 percent. Over the longer term, new factory orders have been quite soft over the past 12 months, up 0.6 percent since September 2015 or down 0.1 percent year-over-year with transportation excluded. This suggests broader weaknesses for manufacturers in terms of demand, perhaps highlighting why business leaders in the sector continue to be so cautious. Read More

New Durable Goods Orders Continue to Disappoint in September

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new durable goods orders continue to disappoint in September. New orders were off 0.1 percent, edging down from $227.6 billion to $227.3 billion. On a year-over-year basis, sales have increased 1.6 percent since September 2015, up from $223.7 billion. However, these data have been skewed by volatility in the transportation equipment segment. In September, transportation equipment orders fell 0.8 percent, largely on reduced activity for defense aircraft and parts. Excluding transportation, new orders for durable goods were up 0.2 percent in September, but over the past 12 months, they were essentially unchanged, down 0.04 percent.

As such, the broader demand for durable goods over the past year remained weak, highlighting ongoing challenges in the sector. Along those lines, core capital goods orders (or nondefense capital goods excluding aircraft) declined 1.2 percent in September, with a year-over-year decrease of 4.1 percent. Read More

New Durable Goods Orders Remained Weak in August

By | Economy, Shopfloor Economics | No Comments

The Census Bureau said that new durable goods orders remained weak in August, continuing a trend that we have seen over the past year or so. New orders dropped from $227.0 billion in July to $226.9 billion in August, essentially unchanged for the month. Moreover, on a year-over-year basis, sales have decreased by 1.3 percent since August 2015. This highlights the ongoing challenges in the sector, including global headwinds and ongoing economic anxieties.

With that said, the headline number received a bit of a boost from transportation equipment orders in August, which were up 0.6 percent largely on stronger demand for autos and defense aircraft. Excluding transportation equipment, new orders for durable goods were down 0.4 percent in August and 1.1 percent year-over-year. This speaks to broader softness outside of transportation among durable goods manufacturers. So-called “core” capital goods orders (or nondefense capital goods excluding aircraft) were up 0.6 percent in August. That might be more encouraging, however, if demand for core capital goods did not decline 3.1 percent year-over-year. Read More