Durable Goods Orders Unexpectedly Gain in October, Easily Beating Forecast

The U.S. Census Bureau reported the advance estimate for durable goods orders unexpectedly gained in October, easily beating the consensus forecast. New orders for manufactured durable goods rose by $1.5 billion or 0.6 percent to $248.7 billion.

While forecasts ranged from a low of -1.8% to a high of 0.7%, the consensus forecast was -0.7%.

New orders for durable goods have been up four of the last five months, though the gain in October follows a 1.4% decline in September.

Excluding transportation, new orders for durable goods rose 0.6%. Forecasts for this measure ranged from a low of -0.2% to a high of 0.3%. The consensus forecast was just 0.1%.

Excluding defense, new orders gained 0.1%. Fabricated metal products, which have been up two of the last three months, fueled the increase gaining $0.6 billion or 1.8% to $34.1 billion.

Core capital goods gained 1.2%, easily beating the consensus. Forecasts for the core ranged from a low of -0.5% to a high of 0.3%. The consensus was 0.1%.