U.S. Factory Orders Slump More Than Expected In December

RTTNews | 211 дней спустя

(RTTNews) - Reflecting a steep drop by orders for transportation equipment, the Commerce Department released a report on Tuesday showing new orders for U.S. manufactured goods decreased by more than expected in the month of December.

The Commerce Department said factory orders slumped by 0.9 percent in December after sliding by a downwardly revised 0.8 percent in November.

Economists had expected factory orders to fall by 0.7 percent compared to the 0.4 percent decline originally reported for the previous month.

Amid a continued nosedive by orders for non-defense aircraft and parts, orders for transportation equipment plummeted by 7.4 percent in December after tumbling by 5.4 percent in November.

Excluding the steep drop by orders for transportation equipment, factory orders rose by 0.3 percent in December after inching up by 0.2 percent in November.

The plunge by orders for transportation equipment also contributed to a notable decrease by orders for durable goods, which dove by 2.2 percent in December after slumping by 2.0 percent in November.

Meanwhile, the report said orders for non-durable goods increased by 0.3 percent in December after rising by 0.4 percent in November.

The Commerce Department also said shipments of manufactured goods climbed by 0.6 percent in December after inching up by 0.1 percent in November.

Inventories of manufactured goods also rose by 0.4 percent in December, matching the increase seen in the previous month.

With shipments rising by more than inventories, the inventories-to-shipments ratio edged down to 1.46 in December from 1.47 in November.

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