Durable Goods Orders Climb, Shipments Decline

Durable Goods Orders Climb, Shipments Decline

New orders for manufactured durable goods increased for the third consecutive month in February, while shipments declined for the second month in a row, according to the latest advance report from the U.S. Census Bureau. Unfilled orders and inventories increased for the second consecutive month.

New orders for manufactured durable goods in February increased $900 million or 0.5 percent to $178.1 billion, the Census Bureau said. This followed a 3.9 percent January increase.

New orders for transportation products and for defense declined, but machinery, up three of the last four months, had the largest increase, $1.1 billion or 4.7 percent to $23.3 billion.

Shipments of manufactured durable goods in February decreased $1 billion or 0.6 percent to $179.8 billion, following a 0.1 percent January decrease. Transportation equipment, also down two consecutive months, had the largest decrease, $1.5 billion or 3.4 percent to $43.8 billion.

Unfilled orders for manufactured durable goods in February, up two consecutive months, increased $2.9 billion or 0.4 percent to $722.1 billion. Inventories of manufactured durable goods in February, up two consecutive months, increased $1 billion or 0.3 percent to $303.9 billion.

Nondefense new orders for capital goods in February increased $3 billion or 5.2 percent to $60.4 billion. Shipments increased $200 million or 0.3 percent to $57.3 billion. Unfilled orders increased $3.1 billion or 0.7 percent to $412.3 billion. Inventories increased $0.2 billion or 0.2 percent to $132.3 billion.

Defense new orders for capital goods in February decreased $500 million or 4.5 percent to $10.7 billion. Shipments decreased $0.5 billion or 4.6 percent to $10.8 billion. Unfilled orders decreased $100 million or 0.1 percent to $132.5 billion. Inventories increased $400 million or 1.7 percent to $20.9 billion.

Contact Thomas L. Gallagher at tgallagher@joc.com.