US durable goods orders below expectations in June
Durable goods orders fell 4% last month witnessing the biggest decrease since August 2014, after falling 2.8% in May. New orders for US manufactured goods increased less than expected in June due to weak demand on machinery which shows an ongoing downturn in business spending.
Business spending has declined since 2015. Lower oil prices which put pressure on profits in the energy sector, the uncertainty of global demand and the approaching US presidential election caused companies to cut capital spending budgets.
In June, orders for electrical equipment, appliances and components rose 0.8%, however orders for machinery fell 0.1% and primary metals declined 1.3%. Computers and electronic products orders fell 2.2% and posted the biggest decline since April 2015. Orders for transportation equipment and bookings for aircraft both declined, respectively by 10.5% and 58.8%. On the other hand, orders for automobiles increased 2.6%. Unfilled core capital goods orders also dropped 0.2% in June after retreating 0.4% in May.
More free plastics newsPlastic resin (PP, LDPE, LLDPE ,HDPE, PVC, GPS; HIPS, PET, ABS) prices, polymer market trends, and more...
- Indian PVC players expect bullish trend to taper off for August
- Local PP, PE offers for July track global uptrend in Saudi Arabia
- Initial ABS prices for July see larger increases than PS in Europe
- Supply constraints spark stronger PE trend than PP in global markets
- ABS, PS uptrend falters in China after H1 2020 ends at multi-month highs
- Stats: China’s total PP imports spike in May; Vietnam and India’s rising shares shine out
- Tight supply drives HDPE, LLDPE gains in Southeast Asia
- European PE markets set for 2nd bullish month on rising costs
- Turkey’s PP and PE markets propelled to a firm start to H2 despite vulnerable conditions
- Asian PVC sees V-shaped recovery in Q2, what will Q3 bring?