Factory Orders Back Up In May By 0.8%
After decreasing for April, new orders for manufactured goods are back up in May, increasing $3.5 billion (0.8%) to $445.3 billion, according to the U.S. Census Bureau report. Shipments, unfilled orders, and inventories also increased 0.1%, 0.9, and 0.8% respectively. The unfilled orders-to-shipments ratio was 6.12 after showing 6.11 in April. The inventories-to-shipments ratio was 1.34, up from 1.33 in April.
Durable goods new orders were also up for May by 2.1% to $196.3 billion. Transportation equipment had the largest increase with 6.3% to $49.9 billion. However, new orders for nondurable goods decreased 0.2% to $249.0 billion.
Durable goods shipments for May increased 0.4% to $195.0 billion after decreasing in April. Machinery increased the most with 2.3% to $28.3 billion. Shipments decreased after ten months of increases.
Unfilled Orders for durable goods in May, up thirteen of the last fourteen months, increased 0.9% to $860.9 billion. This followed a 0.6 percent April increase. Transportation equipment had the largest increase of 0.8% to $497.6 billion.
Inventories and transportation equipment of durable goods have both increased for the past seventeen months. Again in May, both increased by 1.3% and 1.7% respectively. Inventories decreased a slight 0.1% to $236.9 billion after a 1.8% increase in April. Petroleum and coal products drove the decrease, according to the report.Source: U.S. Census Bureau