© Auremar | Dreamstime.com
Dreamstime Xxl 93832896

US Manufactured Goods Orders Slump in July

Aug. 24, 2023
New orders for durable goods fell 5.2% from June to July to $285.9 billion, according to Commerce Department data.

Orders of major U.S. manufactured goods slipped in July according to government data released Thursday, as a boost in civilian aircraft orders faded.

New orders for durable goods fell 5.2% from June to July to $285.9 billion, according to Commerce Department data, a slightly bigger drop than analysts had expected.

The slide comes on the back of a 43.6% plunge in nondefense aircraft and parts, while new orders ticked up 0.5% overall when the transportation segment was excluded.

Despite the dramatic figure, "this merely reverses the June spike, caused by a surge in civilian aircraft orders at the Paris Air Show, which was not repeated in July," said analysts at Pantheon Macroeconomics in a recent report.

"The big picture here is that the re-opening boost to civilian aircraft demand has faded," they added.

Elsewhere, orders of motor vehicles and parts rose 0.8% last month, according to the Commerce Department.

Fresh orders of nondefense capital goods excluding aircraft edged up 0.1% -- a key figure to watch as such orders factor in to the equipment investment component of GDP, said Pantheon economists.

The near-flat reading comes as the Federal Reserve's interest rate hikes continue feeding through the economy, as policymakers work to ease demand and cool inflation sustainably.

Copyright 2023, Agence France-Presse

Popular Sponsored Recommendations

Goodridge Boosts Productivity & Saves Costs by Moving to the Cloud!

Dec. 4, 2023
With Infor's cloud solutions, Goodridge has been able to greatly increase overall productivity, cost savings, data visibility, and automation. This case study discusses the many...

Electric Vehicles Spark New Opportunities in the Automotive Industry

Dec. 4, 2023
Automakers have increased plans to produce Electric Vehicles to meet customer demand for low emissions. With this radical shift, new opportunities and challenges for the auto ...

Modern Edge Computing Accelerates Smart Manufacturing Initiatives for Discrete Manufacturers

Oct. 22, 2023
Discover how Edge Computing platforms are a requisite for discrete manufacturers to solve production challenges, accelerate digitalization, and establish a reliable infrastructure...

Gain a competitive edge with real-world lessons on private 5G networks

Nov. 16, 2023
The use of private networks in manufacturing applications is rapidly growing. In this paper, we present valuable insights and lessons learned from the field with the goal of enhancing...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!