Durable Goods 2.5%, In Line With Expectations Of 2.3%, Ex-Transportation 1.3% Below Consensus Of 1.9%

Tyler Durden's picture

March Durable Goods came at 2.5% in line with expectations fo 2.3%, with the previous number revised far higher from -0.9% to 0.7%. However, durable goods ex the volatile (and oh so snow dependent) transportation segment was 1.3% on expectations of 1.9% (with the previous plunge here of -0.6% remaining unchanged). While this month's ex-number was weak, the prior month's revision likely means the trendline was smoothed down, although both February and march were still modestly weaker, confirming that while Q1 GDP will be low, the pain will continue to be felt in Q2.

From the report:

New Orders.  New orders for manufactured durable goods in March increased $5.0 billion or 2.5 percent to $208.4 billion, the U.S. Census Bureau announced today.  This increase, up three consecutive months, followed a 0.7 percent February increase.  Excluding transportation, new orders increased 1.3 percent.  Excluding defense, new orders increased 2.3 percent. Transportation equipment, also up three consecutive months, had the largest increase, $3.1 billion or 5.9 percent to $54.7 billion.

Shipments.  Shipments of manufactured durable goods in March, up five consecutive months, increased $3.7 billion or 1.8 percent to $207.3 billion. This followed a 0.5 percent February increase.  Transportation equipment, up four consecutive months, had the largest increase, $1.6 billion or 3.3 percent to $51.1 billion.

Inventories.     Inventories of manufactured durable goods in March, up fifteen consecutive months, increased $4.2 billion or 1.3 percent to $333.9 billion.  This followed a 1.3 percent February increase.  Transportation equipment, also up fifteen consecutive months, had the largest increase, $1.7 billion or 1.9 percent to $89.8 billion. 

Capital Goods.  Nondefense new orders for capital goods in March increased $2.3 billion or 3.2 percent to $73.3 billion.  Shipments increased $1.4 billion or 2.1 percent to $67.2 billion.  Unfilled orders increased $6.1 billion or 1.2 percent to $513.6 billion.  Inventories increased $2.4 billion or 1.7 percent to $142.8 billion.  Defense new orders for capital goods in March increased $0.6 billion or 7.6 percent to $9.0 billion.  Shipments increased $0.4 billion or 4.8 percent to $8.9 billion.  Unfilled orders increased $0.1 billion or 0.1 percent to $141.6 billion.  Inventories increased $0.7 billion or 3.7 percent to $18.3 billion.

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Cassandra Syndrome's picture

Is this measurement volume or value based?

101 years and counting's picture

are electronically created dollars counted in the durables report?

dcb's picture

It would be nice if ZH provided some narrative with some of the economic numbers and what it means with stories. It helps for me to learn. I take this to mean consumer weakness

SheepDog-One's picture

Consumer weakness? Cant be, Robo points out how consumers simply cant stay away from hoarding $300 Lulu leotards, $9 burritos and $75 hand towels. Bernanke today will no doubt be throwing glitter confetti, declare POMO and QE over and raise rates by 2%.

RobotTrader's picture

Consumer discretionary stocks flying again.

WHR up $3.50 pre-market.  Sheesh, absolutely nothing can stop the consumer from going down to Best Buy and buying a new washer and dryer.

Cash_is_Trash's picture

absolutely nothing can stop the consumer from going down to Best Buy and buying a new washer and dryer

Dude, did you ever study economics 101? The consumer is using borrowed money on borrowed time. It's simply a matter of time before this malinvestment fucks the country over; in fact it already has! Look at the savings rate!

I recommend you Peter-Schiff-your-ass and understand the severity of the situation.

SheepDog-One's picture

Remember Robo is now posting to ZH from inside a locker at school with an IPhone, having been molested and stuffed in there before gym class.

the mad hatter's picture

inverse dandruff on sp500 sez buy hand over fist. king dollar is being usurped by bernanke & co.

disabledvet's picture

that's King Bernanke to you, yes, yes?

PY-129-20's picture

KING?!? No! Bernanke is the high priest of the mighty Ollar

SheepDog-One's picture

So strong Robot, yes, so today Bernanke will definitely announce 'mission accomplished' and end QE, raise rates back up to 2%. Should be a fun meeting, as Wall St shits a pile of bricks.

Cash_is_Trash's picture

Robo is the uber-troll.

I wonder if he can be as consistently wrong as Bernanke.

Much dexterity needed for that.

LRC Fan's picture

Nothing can stop you from making retarded posts, either.  Hmmm. 

RichyRoo's picture

is the shipping figure adjusted for higher gas prices at all?

SheepDog-One's picture

Higher gas prices cause no negative effect whatsoever, the politburo has spoken.

RichyRoo's picture

AA+ good, thank you citizen

X. Kurt OSis's picture

It's so funny/sad how hard the media strains to spin these numbers. No link necessary, per Bloomberg this is a strong print, blah, blah, blah.

When Ron Paul gets elected, first order of business is to end the Fed, second order is to indict the propaganda machine and expose them as they money center bank whores that they are. Free markets simply can not exist under these conditions.

RobotTrader's picture

Ron Paul has no chance of succeeding.

Nobody, I mean nobody wants to elect the school headmaster and be lectured to.

the not so mighty maximiza's picture

Ron Paul has no chance of succeeding.


They said the same thing about Obamster, too early in the game yet

X. Kurt OSis's picture

One can hope and dream, right?

the not so mighty maximiza's picture

Ron Paul has not officially announced yet, he stated January 2012,, what is he waiting for?  I think he expects major upheaval.   He was the only one that correctly called the situation in 2008.

augie's picture

actually he announced he would run yesterday.



my bad it was an exploratory committee to run that he announced.

SheepDog-One's picture

Its the school headmaster who roughs up Robo and stuffs him in a locker after gym class.

RobotTrader's picture

Another world record high for Panera Bread, up $3 pre-market.

What's going to stop the consumer from visting restaurants?


SheepDog-One's picture

Cool, so Bernanke today then has no choice but to end QE, POMO, raise rates to 2% at least. Cant wait to see it!

Cash_is_Trash's picture

Foreign bond-holders would dump our paper even faster than the current rate of no-bid.

disabledvet's picture

"American soup-kitchen" on the march.

Ruffcut's picture

Next quater is usually better for income tax refunds, unless the consumer has to use it to buy gas.

I think the number is bogus. With all the past home building, now to toilet swirrels, and the number decrease is nominal. Go to lowes and depot and really ask them the decline. The guy at lowes was depressed as hell, when I talked to him last year. I bought a shitload of stuff and got a good deal on my remodel.

ivars's picture

Is this good enough to firmly announce QE2 ends, and thats it?

SheepDog-One's picture

Got to be mission accomplished, stocks rising spectacularly as Robo says, obviously it can all stand on its own now without $5 billion avg daily pumped in. Should be an interesting FOMC presser!

HitTheFan's picture



2.5% is 'in line' with expectation of 2.3%?

I'll bet ZH would have called 2.1% a MISS.

Keep it unbiased guys, you don't want to be permabears in the face of good news (makes you look silly).

SheepDog-One's picture

YEP news is so good that today Bernanke will be announcing the end of QE, POMO, and show how strong everything is by raising rates to 2%. Lets see bullshit WALK!

buzzsaw99's picture

a guest post by hamy explaining what a great investment opportunity tips present would be much appreciated.

disabledvet's picture

let me help you out.  "They had no sales, no revenue, and at one point they had a market cap of billions."  It was called "The Globe.com"--as Hitler said "the bigger the lie the more they believe you."  Of course as Eisenhower said "I knew we'd won when he started to believe his own lies."  Welcome to your sovreign..."the market."  Don't worry, "it's all good."

buzzsaw99's picture

i was thinking more along the lines of: "Inflation is low. Should inflation showhow become a problem in the future the gubmint will report the situation promptly and accurately then immediately begin paying a higher yield to compensate you for the loss of purchasing power. it is a set it and forget it no-lose vehicle which will safeguard your retirement...

SheepDog-One's picture

We've been hearing how strong the patient is from bulls and Bernanke forever now, lets see the patient get up and walk around a bit! Come on Bernanke, announce end of QE2, no QE3, no need for further POMO! Im ready to see bullshit get up and walk out of the hospital, enough talk!

disabledvet's picture

He could simply tell the truth:  "we are on a gold standard already."  And "yes, I lost that bet and that is why i'm wearing these daisy dukes."  Next qeustion?