US April factory orders 0.4% versus 0.8% expected

• Prior +0.4% (was revised from 0.9% in the preliminary). Revised to +0.6%
• Factory orders April 0.4% vs 0.8% expected
• Factory orders Ex transportation -0.2% versus -0.7% last month.
• Durable goods orders (revised) 1.1% versus 1.1% preliminary. Last month +3.3%
• Durable goods ex-defense -0.7% versus -0.6% preliminary. Last month +3.2%
• Durable goods ex-transportation -0.3% vs -0.2% preliminary. Last month +0.3%
• Nondefense capital goods ex-air 1.3% vs 1.4% preliminary. Last month -0.6%

Shipment Data:

In April, shipments of manufactured durable goods Durable goods Durable goods, or durables are a type of consumer goods that are typically expected to last for three years or more. Examples include appliances, automobiles, furniture, and electronics. These items are often more expensive than non-durable goods, such as food or clothing, and are considered a significant purchase for consumers. In economic statistics, durable goods are used as an indicator of consumer spending and overall economic activity.They are particularly valuable as an indicator because Durable goods, or durables are a type of consumer goods that are typically expected to last for three years or more. Examples include appliances, automobiles, furniture, and electronics. These items are often more expensive than non-durable goods, such as food or clothing, and are considered a significant purchase for consumers. In economic statistics, durable goods are used as an indicator of consumer spending and overall economic activity.They are particularly valuable as an indicator because Read this Term, down for two of the last three months, fell by $2.1 billion, or 0.7%, to $277.6 billion. This aligns with the previously published decrease and follows a 0.7% increase in March. The decrease was predominantly driven by transportation equipment, which was down for three of the last four months, with a decline of $1.6 billion, or 1.8%, to $87.4 billion.

Meanwhile, shipments of manufactured nondurable goods, which have been declining for five of the last six months, also decreased in April by $0.4 billion, or 0.1%, to $294.7 billion. This drop follows a substantial 1.8% decrease in March. The decrease was led by food products, which dropped for the second consecutive month, with a decrease of $0.3 billion or 0.4% to $79.8 billion.

Inventory Data:

In April, inventories of manufactured durable goods, which include long-lasting items like machinery, vehicles, and equipment, rose for four out of the last five months. They increased by $5.1 billion, or 1.0%, to $521.8 billion, matching the previously published increase. This rise comes after a 1.0% decrease in March. The increase was led by transportation equipment, which has seen growth three of the last four months, with a rise of $5.1 billion or 3.2% to $164.1 billion.

In contrast, inventories of manufactured nondurable goods, which include items with a shorter life span, such as food, clothing, or petroleum products, declined for five out of the last six months. They decreased by $1.0 billion, or 0.3%, to $334.9 billion following a 0.7% decrease in March. The decrease was primarily due to petroleum and coal products, which fell $0.7 billion or 1.4% to $46.8 billion.

Looking at the stage of fabrication, materials and supplies for durable goods increased by 0.3% in April, while nondurable goods saw a decrease of 0.6%. Work in process for durable goods increased by 2.5%, while nondurable goods decreased by 0.4%. Finished goods for durable items increased slightly by 0.1%, and for nondurable goods, they were essentially unchanged.

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