New orders for manufactured durable goods in the U.S. dropped 2.2% month-over-month to $276.1 billion in December 2024, extending the downwardly revised 2% decline in November and sharply missing market forecasts of a 0.6% increase.
US durable goods orders unexpectedly fall
The decrease was primarily driven by a 7.4% drop in transportation equipment, with nondefense aircraft and parts plunging 45.7%, likely due to lower bookings for Boeing. Excluding transportation, durable goods orders increased by 0.3%, while excluding defense, orders fell by 2.4%.
Sector figures
Declines were also recorded in orders for capital goods (-7.1%) and primary metals (-0.6%). However, nondefense capital goods orders excluding aircraft—a key indicator of business investment plans—rose 0.5%, building on a 0.9% increase in November, suggesting some resilience in underlying business investment despite the broader weakness.
