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Data from the Census Department, chart by Mish

The Census Department Durable Goods Report for September posted some grim statistics, most of it aircraft related.

New Orders

• New orders for manufactured durable goods in September, down three of the last four months, decreased $2.2 billion or 0.8 percent to $284.8 billion. This followed a 0.8 percent August decrease.
• Excluding transportation, new orders increased 0.4 percent.
• Excluding defense, new orders decreased 1.1 percent.
• Transportation equipment, also down three of the last four months, drove the decrease, $3.1 billion or 3.1 percent to $95.4 billion.

Shipments

• Shipments of manufactured durable goods in September, down two consecutive months, decreased $1.8 billion or 0.6 percent to $287.3 billion. This followed a 0.6 percent August decrease.
• Transportation equipment, also down two consecutive months, drove the decrease, $2.3 billion or 2.4 percent to $94.4 billion.

Unfilled Orders

• Unfilled orders for manufactured durable goods in September, up forty-nine of the last fifty months, increased $2.3 billion or 0.2 percent to $1,391.2 billion.
• This followed a 0.2 percent August increase.
• Transportation equipment, up forty-four of the last forty-five months, led the increase, $1.0 billion or 0.1 percent to $895.1 billion.

Inventories

• Inventories of manufactured durable goods in September, down three of the last four months, decreased $1.0 billion or 0.2 percent to $528.3 billion. This followed a virtually unchanged August decrease.
• Transportation equipment, also down three of the last four months, led the decrease, $1.0 billion or 0.6 percent to $171.1 billion.

Capital Goods

• Nondefense new orders for capital goods in September decreased $4.0 billion or 4.5 percent to $84.1 billion.
• Shipments decreased $3.1 billion or 3.6 percent to $84.8 billion. Unfilled orders decreased $0.7 billion or 0.1 percent to $839.3 billion. Inventories decreased $0.6 billion or 0.3 percent to $232.0 billion.
• Defense new orders for capital goods in September increased $1.1 billion or 6.4 percent to $17.5 billion.
• Shipments decreased $0.1 billion or 0.8 percent to $14.4 billion. Unfilled orders increased $3.2 billion or 1.5 percent to $208.2 billion. Inventories decreased $0.1 billion or 0.5 percent to $25.6 billion.

Revised August Data

• New orders, $587.1 billion (revised from $590.4 billion)
• Shipments, $589.2 billion (revised from $590.1 billion)
• Unfilled orders, $1,389.0 billion (revised from $1,391.4 billion)
• Total inventories, $859.6 billion (revised from $860.2 billion)

All of the revisions were negative.

Spotlight Boeing

Much of this weakness is related to aircraft, always so volatile that it would blow the scales of every chart if I plotted the orders.

Yesterday, the Union Voted to Reject Boeing’s Latest Offer. I will cover this separately, but it is terrible news for Boeing.

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