New orders for manufactured durable goods decreased $4.8 billion or 2.4 percent to $192.8 billion, the U.S. Census Bureau announced today. This followed a 4.8 percent July increase. Excluding transportation, new orders decreased 0.5 percent. Excluding defense, new orders decreased 2.7 percent.

Key Details of the Report

• Overall Decline: New orders fell by 2.4%, a significant downturn.
• Transportation Impact: Excluding transportation, the decrease was 0.5%.
• Defense Spending: Excluding defense, the decrease was 2.7%.

The report indicates a potential weakening in manufacturing, raising concerns about the pace of economic recovery. Investors are closely watching these figures for signs of a more pronounced slowdown.

Inventories and Shipments

Inventories of manufactured durable goods in August increased $0.7 billion or 0.2 percent to $368.4 billion, up following two consecutive monthly decreases. This was led by transportation equipment, up $0.5 billion or 0.7 percent.

Shipments of manufactured durable goods in August increased $2.1 billion or 1.1 percent to $196.8 billion, up following two consecutive monthly decreases. This was led by transportation equipment, up $1.9 billion or 3.2 percent.

Market Reaction

The disappointing durable goods orders data has triggered negative reactions in the market. Analysts are revising their growth forecasts, and investors are adopting a more cautious stance.