New orders for durable goods dropped 1.3% in August, the largest decline a year, as orders excluding transportation goods increased stronger than expected, the Commerce Department reported today.
Excluding transportation, durable goods orders rose 2.0%, the strongest monthly gain in five months and the third increase in four months. Nondefense capital goods orders, excluding aircraft, jumped 4.1% the largest increase since May.
Economists expected durable goods would fall 1.0% and expected orders excluding transportation to increase 1.0%, according to the median estimate from Thomson Reuters.
Durable goods orders for July were revised higher to a 0.7% increase from 0.3% reported last month. July’s orders excluding transportation fell 2.8%, revised from a 3.8% decline. Nondefense capital goods orders excluding transportation were revised higher to a 5.3% decline from a 8.0% drop reported initially.
Transportation orders fell 10.3%, pulled lower by a large drop in nondefense aircraft orders, a volatile index. Auto orders fell 4.4% for the month.
Total unfilled orders slipped 0.1% in August.
