Durable Goods Orders Continue to Slide

New orders for real durable goods totaled $230,444 million in November, which was the lowest level of durable goods new orders since January 2018. Orders in November 2019 were down 7.6% from one year ago, marking the fastest rate of month-over-month contraction since July 2016. Also, this was the fourth month in a row of contraction and the ninth month of contraction out of the last 10. Three of the last four months have contracted faster than 6.0%. The result was that the annual rate of change contracted 3.4%, moving at a faster rate of contraction for the fourth-straight month. This was the fastest rate of annual contraction since July 2016.

Compared with one year ago, new orders for motor vehicles and parts contracted 6.9%. This was the fourth consecutive month of month-over-month contraction and the fastest rate of contraction since July 2016. The annual rate of growth, now 1.3%, decelerated for the fifth month. This was the slowest rate of annual growth since March 2018.

Aerospace orders decreased 47.1% in November, contracting more than 40% for fifth time in seven months. The annual rate of contraction was 30.3%, which was the fastest rate of contraction since December 2015.

Accelerating Growth: 

Decelerating Growth: computers/electronics, HVAC, motor vehicle/parts, power generation

Accelerating Contraction: aerospace, construction materials, durable goods, fabricated metal products, machinery/equipment, off-road/construction machinery,  primary metals, ship/boat building, total capital goods

Decelerating Contraction: appliances, oil/gas-field/mining machinery


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World Machine Tool Survey

An independent annual survey that collects statistics from machine tool consuming and producing countries and compares them in real U.S. dollars.

Capital Spending Survey

An annual survey that collects statistics regarding budgeted spending on machine tools, testing equipment, software and more.

Gardner Business Index

A diffusion index measuring month-to-month changes in activity at durable goods and discrete parts manufacturing facilities.