Trading Room home page

US durable goods orders higher

Market watch top headlines

World reports

Stocks to watch

BGA, CWN, ILU, SGM, STO,

WASHINGTON, Jan 28 AFP

January 29 2013, 01:47AM

New US orders for durable manufactured goods surged higher in December, led by a jump in commercial aircraft orders, government figures show.

Orders for durable goods - long-lasting products such as vehicles, computers and machinery - rose to $US230.7 billion ($A221.6 billion), up 4.6 per cent from November, the Commerce Department said on Monday.

It was the seventh increase in the past eight months, following a 0.7 per cent gain in November, and well above the 1.6 per cent rise expected by analysts.

Excluding transportation equipment orders, which can be volatile month-over-month, durable goods orders rose 1.3 per cent.

Transportation equipment orders leaped 11.9 per cent after two consecutive months of declines, almost entirely due to commercial aircraft and parts orders, up 10.1 per cent.

Non-defence capital goods orders excluding aircraft, or core capital goods orders, an indicator of future capital spending, rose 0.2 per cent.

Shipments climbed 1.3 per cent.

"Substantial declines in unfilled orders of non-defence capital goods excluding aircraft over the past few months will continue to put downward pressure on shipments growth," Briefing.com said in a research note.

On a 12-month basis, durable goods orders were up 4.1 per cent.