The U.S. Commerce Department published a report on Thursday revealing that new orders for manufactured durable goods in the country rose slightly in May, contrary to expectations.
According to the report, durable goods orders increased by 0.1 percent in May, following a revised upward rise of 0.2 percent in April.
Economists had forecasted a 0.1 percent decline in durable goods orders, compared to the previously reported 0.6 percent increase in April.
The modest increase in durable goods orders was partly driven by a rise in orders for transportation equipment, which saw a 0.6 percent uptick in May after a 0.1 percent decline in April.
Excluding the transportation equipment category, durable goods orders decreased by 0.1 percent in May, following a 0.4 percent increase in April. Analysts had anticipated a 0.2 percent rise in ex-transportation orders.
The report also noted declines in orders for machinery, primary metals, and electrical equipment, appliances, and components, while orders for fabricated metal products and computers and electronic products experienced an increase.
Additionally, the report highlighted that orders for non-defense capital goods excluding aircraft, which is a crucial indicator of business investment, fell by 0.6 percent in May after a 0.3 percent rise in April.
Shipments within the same category, which are the source data for equipment investment in GDP calculations, decreased by 0.5 percent in May, following a 0.4 percent rise in April.
