New orders for manufactured durable goods fell unexpectedly in April, according to a recent report. This disappointing data has put downward pressure on stock prices as investors worry about the strength of the economy.

The Commerce Department reported that orders for durable goods, items expected to last at least three years, decreased by 2.4% in April. This was a surprise to economists, who had been expecting a modest increase. The decline was driven primarily by a sharp drop in orders for transportation equipment, particularly aircraft.

Excluding transportation, durable goods orders actually increased slightly, but the overall picture remains concerning. Economists are now closely watching upcoming economic data to assess whether this decline is a temporary blip or a sign of a more significant slowdown in manufacturing activity.

The stock market reacted negatively to the news, with major indexes falling in early trading. Investors are concerned that the decline in durable goods orders could be a leading indicator of a broader economic slowdown.

Analysts caution against overreacting to a single month’s data. However, they acknowledge that the report raises concerns about the sustainability of the current economic expansion. The coming months will be crucial in determining whether the economy can regain its momentum.