New orders for long-lasting U.S. manufactured goods unexpectedly fell in October to post their largest decline in nearly two years and business capital spending plans dropped, according to a government report on Wednesday that pointed to a slowdown in factory activity.Meanwhile, unemployment claims unexpectedly dropped. The numbers still aren't good, however.
The Commerce Department said durable goods orders tumbled 3.3 percent, the largest decline since January 2009, after surging by a revised 5 percent. Economists had expected orders to be flat in October after a previously reported 3.5 percent jump.
Excluding transportation, orders dropped 2.7 percent, the biggest fall since March 2009, after a revised 1.3 percent increase in September, which was previously reported as a 0.4 percent. Economists had expected orders excluding transportation to rise 0.6 percent in October.
The drop in orders last month was almost across the board, with hefty declines in bookings for machinery, computers, communications equipment and defense aircraft.
Wednesday, November 24, 2010
Unexpected! Manufacturing Orders Fall Sharply
Apparently only business writers and economists find bad economic new to be unexpected.
Posted by JammieWearingFool at 8:55 AM