US manufacturers saw rising sales of major durable goods for the second straight month in September, boosted by orders for aircraft and telecoms equipment, government data showed today.
Auto sales slowed sharply for the month, however. The result was nearly twice what analysts were expecting and could support GDP growth in a third quarter that was battered by back-to-back hurricanes.
Total orders for big-ticket manufactured items rose by 2.2 per cent compared to August, reaching USD 238.7 billion, nearly a full percentage point above a consensus forecast, according to the Commerce Department.
So far this year, orders are up 5.2 per cent over the same period in 2016.
Orders for civilian aircraft rose 31.5 per cent, far faster than the defence aircraft segment, which added a token 2.4 per cent after a steep drop in August. Sales of cars and trucks were stagnant, however, adding a mere 0.1 per cent.
Orders for the month were not driven entirely by the volatile transportation sector, however, and defence sales of aircraft and capital goods also contributed little, according to the September data.
Excluding the volatile transportation sector, which sees broad swings from month to month, orders rose by 0.7 per cent for the second month in a row. Excluding the defence sector, orders rose 2.0 per cent.
Orders for telecommunications equipment rose by 4.8 per cent, slowing slightly from August's 7.8 per cent gain.
Civilian capital goods orders, a sector heavily influenced by oil prices, rose 1.3 percent for the second month in a row.
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