21 Months... US Factory Orders have declined year-over-year every month since October 2014 (the end of QE3). This is the longest period of decline in US history (since 1956) and has always indicated the US economy is in recession.

While headlines will crow of 1.9% MoM gain (which missed expectations of a 2.0% rise), the trend is simply ugly - Year-over-year Factory Orders fell 3.5%

As Bloomberg also notes, there’s one key takeaway from the Commerce Department’s report Friday on U.S. factory orders. The value of unfilled orders dropped in July to the lowest level in two years, indicating producers are having an easier time meeting demand.

With soft sales, factories have little reason to add as many workers to their payrolls and may find it difficult to raise prices. Employment in manufacturing dropped 14,000 in August, the most in three months, another report from the Labor Department showed Friday.

• Unfilled orders to all manufacturers fell 0.1 percent to $1.13 trillion, the lowest since June 2014, after a 0.9 percent slump
• Unfilled orders have increased just once since November
• Total factory orders rose 1.9 percent in July after a 1.8 percent drop.

Bonus Chart of the day... US Capital Goods Shipments (non-defense) collapsed 9.4% YoY!!!