US durable goods rise in May after 3-month slide

25 June 2008 18:38  [Source: ICIS news]

HOUSTON (ICIS news)--New orders for US durable goods increased slightly in May, breaking a three-month slide in orders, the Commerce Department said on Wednesday.

New orders rose by $74m (0.03%) to $213.6bn (€136.7bn) in May.

“This was the first increase in three months and followed a 1.0% April decrease,” the department said in a statement. “Excluding transportation, new orders decreased 0.9%. Excluding defense, new orders decreased 0.6%.”

Durable goods are manufactured products meant to last three years or more and include such items as automobiles, appliances, transportation and manufacturing equipment. Many durable goods, such as computers and automobiles, are major downstream markets for chemicals and chemicals-based products and components.

Within transportation, the May increase was attributed to an increase in new orders for commercial aircraft and parts.

Aircraft orders often are made in multiple-plane purchases and in any given month can affect manufacturing data disproportionately in either direction.

Shipments of manufactured durable goods in May, decreased $2.3bn or 1.1% to $211.3 billion. This followed a 1.8% April increase.

Unfilled orders for manufactured durable goods in May increased by $7.1bn (0.9%) to $810.2bn, the highest level since 1992 and following a 0.7% increase in April.

Inventories of manufactured durable goods in May, up 10 of the last 11 months, increased $1.4bn (0.4%) to $330.4bn.

US durable goods orders and inventories*

	May ($bn)	May vs April          (%)	April  vs March (r)              (%)
New orders	213.6	.03	-0.5
Unfilled orders	810.2	.09	1
Total inventories	330.4	0.4	0.5

r: revised  *seasonally adjusted

($1 = €0.64)

To discuss issues facing the chemical industry go to ICIS connect

By: Brian Ford
+1 713 525 2653

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly