Advance: May U.S. Durable Goods Orders Were Flat - Modern Distribution Management

Advance: May U.S. Durable Goods Orders Were Flat

Though weak, it topped economists' expectations.
New orders for durable goods November 2020

U.S. monthly manufactured durable goods orders ticked up 0.1% in May, according to an advance report from the U.S. Census Bureau.

Economists surveyed by the Wall Street Journal had forecasted a May decline of 0.1%.

Released June 27, the report showed that May orders totaled $281.1 billion and increased for a fourth consecutive month, but was another deceleration after April’s 0.2% (revised from 0.7%), March’s 0.8% and February’s 1.2%.

Year-over-year, total durable goods orders were also up 0.1%.

The subtle May increase was driven by transportation equipment, which was up 0.6% vs. April. Excluding transportation, new orders dipped 0.1%. Excluding defense, May’s new orders decreased 0.2% vs. April.

Capital goods orders decreased 0.9%.

Shipments of manufactured durable goods decreased 0.3% in May vs. April, following three straight monthly increases, including April’s 1.2% gain. Transportation led the decrease, down 0.8%.

May’s unfilled orders for durable goods — up 46 consecutive months — increased 0.2%, following a 0.1% gain in April. Transportation equipment led the increase at a 0.4% gain.

May’s inventories of durable goods — up five of the past six months — increased 0.3%, following April’s 0.1% increase. Transportation led the increase at a 0.7% gain

Click chart for larger version

Here’s how advance monthly new orders and shipments of different durable goods product categories fared in April, seasonally-adjusted, according to Census Bureau data:

Primary Metals

  • Shipments: 0.0%
  • New Orders: -0.4%

Fabricated Metal Products

  • Shipments: 0.0%
  • New Orders: +0.3%

Machinery

  • Shipments: -0.1%
  • New Orders: -0.5%

Computers and Electronic Products

  • Shipments: 0.0%
  • New Orders: +0.1%

Electrical Equipment, Appliances and Components

  • Shipments: -0.5%
  • New Orders: -0.4%

Transportation Equipment

  • Shipments: -0.8%
  • New Orders: +0.6%

All Other Durable Goods

  • Shipments: -0.1%
  • New Orders: -0.1%

Capital Goods

  • Shipments: -1.2%
  • New Orders: -0.5%

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