July 29, 2009

Durable goods orders fell in June

U.S. durable goods orders fell further than expected in June, dropping 2.5 percent, the Commerce Department reported Wednesday.

New orders for products intended to last at least three years fell after two months of increases. In May, new orders rose 1.3 percent.

Economists expected a 1.7 percent drop in June. But orders for planes, trains and automobiles fell sharply. Excluding transportation, new orders rose 1.1 percent in the month.

Shipments of durable goods fell slightly, but for the 11th consecutive month, the longest continued downturn since 1992.

Shipments fell 0.2 percent to $168.3 billion after falling 2.6 percent in May.

Unfilled orders, down for nine months, dropped 0.9 percent to $740.1 billion while inventories fell 0.9 percent to $318.8 billion, Commerce said.