Durable Goods Orders Down Second Month: Very Ugly Numbers Excluding Defense

The Census Department Advance Report on Durable Goods sports some ugly numbers for May.

1. New Orders: -0.6%
2. Excluding Transportation: -0.3%
3. Excluding Defense: -1.5%
4. Motor Vehicles and Parts: -4.2%
5. Defense Aircraft and Parts: +21.1%
6. Nondefense Capital Goods: -2.0%
7. Nondefense Capital Goods Excluding Aircraft: -0.2%
8. Defense Capital Goods: +15.1%

Those are some of the worst numbers I have seen in a long time. Defense orders masked an extremely weak report.

Shipments, a direct GDP feed, were down 0.1% in May and flat in April.

Mike "Mish" Shedlock