WASHINGTON — The value of U.S. durable goods new orders were stronger than expected, rising by 0.8% in September compared with the 1.0% decline forecast.
The key factor in the surprise gain was a rise in transportation orders, particularly defense aircraft orders, rather than the decline that analysts had predicted.
Outside of transportation, new orders were weaker-than-expected, rising by only 0.1% compared with the 0.5% gain expected. Still, the underlying trend remains positive with gains in nine of the last ten months.
The Commerce Department said that it could not quantify the impact of the recent hurricanes on the data.
Transportation orders rose by 1.9%, with motor vehicles orders up 1.3% and defense aircraft orders up a surprising 119.1%. These more than offset a 17.5% decline in nondefense aircraft orders, which was expected by analysts, and a 17.8% decline in the unpublished transportation components.
Other orders categories were generally weaker. There were gains for primary metals, machinery, and the "all other durables category" that offset declines for electrical equipment and fabricated metals products.
Nondefense capital goods new order fell by 2.4% and were still down 0.1% excluding aircraft, a second straight decline.
Durable goods inventories were up 0.7%, while shipments rose 1.3% and unfilled orders rose 0.8%. Nondefense capital goods shipments rose 2.7%, but were flat excluding aircraft.
