US Durable Goods Orders Beat In September, Remain Lower Year-Over-Year

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by Tyler Durden
Tuesday, Oct 27, 2020 - 08:35 AM

August's significant slowdown in the rebound of US Durable Goods Orders was expected to continue in early September data, but instead the Census Bureau printed a big surprise beat, rising 1.9% MoM (against +0.5% exp).

Source: Bloomberg

However, headline durable goods orders remain (marginally) lower on a YoY basis (-0.4%) and below February's pre-COVID levels...

Source: Bloomberg

Core capital goods orders, a barometer for business investment which excludes aircraft and military categories, rose 1% in September, also more than forecast, after an upwardly revised 2.1% advance a month earlier.

Finally, we note that there is a significant rise in inventories relative to shipments across many sectors...

If you build it, they will come? They better!!