US July durable goods orders +9.9% vs +5.7% expected

• Prior was -6.7%
• New orders for manufactured durable goods jumped 9.9% to $289.6 billion in July
• Blows past market forecasts, reverses June’s 6.9% decline
• Transportation equipment orders skyrocketed 34.8% to $102.2 billion, driving the increase
• Ex-transport -0.2% vs -0.1% expected
• Prior ex-transport +0.4% (revised to +0.1%)
• Excluding defense, new orders rose 10.4% vs -7.2% prior (revised to -7.5%)
• Nondefense capital goods orders (ex-aircraft) slipped 0.1%vs +0.0% expected
• Prior nondefense capital goods orders +0.9% (revised to +0.5%)
• Unfilled orders up 0.2% to $1,386.5 billion, marking 47 increases in 48 months
• Inventories inched up 0.1% to $529.7 billion

Core orders are soft and were revised lower previously. This report is soft as the lumpy transport number hides a weakening in the underlying data. That said, the decline isn’t dramatic and this report has offered little edge since the pandemic.

This article was written by Adam Button at www.forexlive.com.