U.S. Factory Orders, Shipments Increase

New orders and shipments of manufactured goods in the U.S. increased in March, according to new data from the U.S. Census Bureau (Reuters).

What’s going on: “Factory orders rose 1.6% after gaining 1.2% in February,” in line with economist expectations.

• Orders in March increased 0.3% year-on-year.
• Excluding transportation, orders rose 0.5%. 

Orders: Orders of commercial aircraft drove the increase, rising 30.6% in March after gaining 15.6% in February.

• Overall transportation-related orders—including those for motor vehicle bodies and parts—increased 1.1%.
• Machinery orders dipped 0.1%.

Shipments: Manufactured goods shipments increased 0.3%.

Core capital goods: Orders of so-called core capital goods—or nondefense capital goods excluding aircraft—inched up 0.1% in March.  

• Core capital goods are seen as a proxy for capital spending in the U.S. economy.
• Shipments of these goods were unchanged in March.