Economy

Durable Goods Orders Fall 1.2% in September

Written by Sandy Williams


New orders for manufactured durable goods fell 1.2 percent in September, following a decrease of 3.0 percent in August, according to the U.S. Census Bureau. Manufactured goods have been pressured by a decrease in exports due to weak global economic conditions and a strong U.S. dollar that makes pricing for U.S. products less competitive.

Transportation orders led the decrease, falling 2.9 percent to $75.5 billion. Orders for core goods, excluding transportation and defense, fell 0.4 percent.

The text of the report for September follows:

New Orders. New orders for manufactured durable goods in September decreased $2.9 billion or 1.2 percent to $231.1 billion, the U.S. Census Bureau announced today. This decrease, down two consecutive months, followed a 3.0 percent August decrease. Excluding transportation, new orders decreased 0.4 percent. Excluding defense, new orders decreased 2.0 percent. Transportation equipment, also down two consecutive months, led the decrease, $2.2 billion or 2.9 percent to $75.5 billion.

Shipments. Shipments of manufactured durable goods in September, up three of the last four months, increased $0.4 billion, or 0.2 percent, to $242.5 billion. This followed a 0.5 percent August decrease. Transportation equipment, also up three of the last four months, drove the increase, $0.5 billion or 0.6 percent to $81.0 billion.

Unfilled Orders. Unfilled orders for manufactured durable goods in September, down two consecutive months, decreased $6.6 billion or 0.6 percent to $1,187.4 billion. This followed a 0.3 percent August decrease. Transportation equipment, also down two consecutive months, led the decrease, $5.5 billion or 0.7 percent to $794.1 billion.

Inventories. Inventories of manufactured durable goods in September, down four of the last five months, decreased $1.3 billion, or 0.3 percent, to $399.4 billion. This followed a 0.2 percent August decrease. Transportation equipment, down two of the last three months, led the decrease, $1.0 billion or 0.8 percent to $131.3 billion.

Capital Goods. Nondefense new orders for capital goods in September decreased $5.9 billion or 7.6 percent to $72.2 billion. Shipments decreased $0.4 billion or 0.6 percent to $79.8 billion. Unfilled orders decreased $7.6 billion or 1.0 percent to $752.2 billion. Inventories increased $0.1 billion or 0.1 percent to $176.2 billion. Defense new orders for capital goods in September increased $1.1 billion or 12.3 percent to $9.7 billion. Shipments increased $0.3 billion or 3.1 percent to $10.3 billion. Unfilled orders decreased $0.6 billion or 0.4 percent to $148.2 billion. Inventories decreased $0.8 billion or 3.5 percent to $22.8 billion.

Revised August Data. Revised seasonally adjusted August figures for all manufacturing industries were: new orders, $471.3 billion (revised from $473.0 billion); shipments, $479.4 billion (revised from $480.1 billion); unfilled orders, $1,194.1 billion (revised from $1,195.0 billion); and total inventories, $647.8 billion (revised from $648.4 billion).

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