WASHINGTON — The value of U.S. durable goods new orders fell by 1.7% in July, a larger loss than the 1.3% fall expected by analysts in an MNI survey and following an downward revision to the increase in the previous month, data released Friday by the Commerce Department showed.
The main driver of the July decrease was a 5.3% decline in transportation orders. However, new orders excluding transportation orders posted a 0.2% increase despite losses in communications equipment new orders and the all other durables category. Analysts had expected this component to rise 0.5%.
Nondefense aircraft and parts new orders declined 35.4% in July following a 1.3% rise in the previous month, while defense aircraft orders fell 34.6%.
Motor vehicles and parts orders were up 3.5% in the month, providing some offset. Transportation orders excluding motor vehicles and aircraft were up 7.9%, according to an MNI calculation.
Nondefense capital goods new orders fell 4.6%, but were up 1.4% excluding an increase in civilian aircraft orders following a 0.6% rise in June.
Durable goods shipments fell 0.2% in July due to a decline in transportation, and nondefense capital goods shipments were also down 4.2%. Nondefense capital goods shipments ex. aircraft were up 0.9% after a 0.9% rise in the previous month.
Durable goods inventories rose 1.3% in the month, while unfilled orders were flat.
