U.S. Durable Goods Orders Jumped More Than Expected in September

By Ed Frankl

Orders for longer-lasting goods rose in September by more than expected, after two months of declines, suggesting the outlook is improving for U.S. manufacturers.

New orders for products meant to last at least three years, including appliances, computers, cars and other manufactured goods, rose 4.7% on month in September on a seasonally adjusted basis, to $297.2 billion, the Commerce Department said Thursday.

It compares with a 0.1% drop in August, which was downwardly revised, and a strong 5.6% drop in July.

September's reading is better than expected by economists surveyed by The Wall Street Journal, who forecast a 2.0% increase.

Transportation equipment, also up following two consecutive monthly decreases, led the increase, rising 12.7%, the Commerce Department said.

Excluding defense categories, new orders jumped 5.8%. Stripping out transportation, new orders were up 0.5%, it said.

New orders for nondefense capital goods excluding aircraft, a closely watched proxy for business investment, rose 0.6% on month to $74.46 billion, according to the data.

Write to Ed Frankl at edward.frankl@wsj.com

(END) Dow Jones Newswires

October 26, 2023 08:58 ET (12:58 GMT)

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