Yahoo Finanza March Durable Goods Orders Increase More Than Expected
US durable goods orders rose more than projected in March, led by transportation equipment, while shipments were largely flat, government data showed Wednesday.
Orders for tangible items with an average life of at least three years advanced 2.6% sequentially last month to about $283.41 billion, following a downwardly revised 0.7% gain in February, the Census Bureau said. The consensus estimate was for a 2.5% increase in March, according to a survey compiled by Bloomberg.
Transportation equipment jumped 7.7% to $95.94 billion, amid a 31% surge in civilian aircraft orders and a 2.1% gain in motor vehicles and parts orders. Excluding transportation, new orders rose 0.2% in March, matching the Bloomberg consensus.
"A better-than-expected durable goods report underscores the relative strength of the economy perpetuated by a willingness and ability for consumers to spend and businesses to continue to invest," Stifel Chief Economist Lindsey Piegza and Economist Lauren Henderson said in a note. "That being said, there are clearly signs of waning momentum and lingering fatigue amid today's relatively elevated rate environment and ongoing pressures from rising costs."
Shipments of manufactured durable goods edged lower to $282.4 billion in March from the previous month's $282.46 billion, following a 1.2% monthly gain. Inventories reached $527.92 billion last month, compared with $527.93 billion in February, according to government data.
Nondefense new orders for capital goods increased 5.4% to $87.55 billion, while shipments fell 1.5% to $80.5 billion. Defense new orders for capital goods jumped 10.6% to $12.87 billion, while shipments decreased 0.4% to $14.06 billion.
Government data are likely to show Thursday that the US economy grew at a 2.5% annualized rate in the first quarter, which would mark a slowdown from a 3.4% pace in the last quarter of 2023, according to a Bloomberg-compiled consensus.
