With the exception of transportation equipment, orders and shipments for manufactured durable goods increased 0.9 percent in May, signaling a growing recovery for core manufacturing.
But a $3 billion drop in new orders for nondefense aircraft and parts pulled new orders for manufactured durable goods in May down $2.2 billion or 1.1 percent to $192 billion, the U.S. Census Bureau announced Thursday. The overall decrease followed five consecutive monthly increases including a 3 percent April increase.
Aircraft orders led the third decline in four months for transportation equipment, which fell $3.5 billion in May, or 6.9 percent to $46.9 billion.
Transportation equipment also held shipments of manufactured durable goods back in May. Following two consecutive monthly increases, shipments decreased $800,000 or 0.4 percent to $196 billion. This followed a 1.8 percent April increase. Transportation equipment, down following two consecutive monthly increases, had the largest decrease, $1.3 billion or 2.8 percent to $47.1 billion.
Unfilled orders for manufactured durable goods in May, up four of the last five months, increased $1.4 billion or 0.2 percent to $802.8 billion. This followed a 0.4 percent April increase. Machinery, up $1.5 billion or 1.7 percent to $93.1 billion, was responsible for the increase.
Inventories of manufactured durable goods in May, up five consecutive months, increased $2.5 billion or 0.8 percent to $304.4 billion. This followed a 0.8 percent April increase. Primary metals, up seven consecutive months, had the largest increase, $0.9 billion or 3 percent to $30.7 billion.
Nondefense new orders for capital goods in May decreased $1.8 billion or 2.8 percent to $63.7 billion. Shipments increased $0.2 billion or 0.3 percent to $62.4 billion. Unfilled orders increased $1.3 billion or 0.3 percent to $484.7 billion. Inventories increased $0.9 billion or 0.7 percent to $126.2 billion.
Defense new orders for capital goods in May decreased $300,000 or 3 percent to $10.3 billion. Shipments decreased $600,000 or 5.7 percent to $10 billion. Unfilled orders increased $300,000 or 0.2 percent to $139.8 billion. Inventories decreased $100,000 or 0.7 percent to $17.9 billion.
Revised seasonally adjusted April figures for all manufacturing industries were: new orders, $420.2 billion (revised from $420.1 billion); shipments, $422.8 billion (revised from $422.3 billion); unfilled orders, $801.4 billion (revised from $801.2 billion); and total inventories, $522.3 billion (revised from $521.7 billion).
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