FX.co ★ US Factory Orders Fall More than Expected

In April 2025, new orders for U.S. manufactured goods declined by 3.7% compared to the previous month, totaling $594.6 billion. This marked the first drop in five months, following a 3.4% increase in March and surpassing the forecasted decline of 3%. The decrease was predominantly driven by a substantial 17.1% reduction in transportation equipment orders, with a significant 51.5% decrease in nondefense aircraft and parts. This was largely due to airlines pausing their demand for Boeing aircraft amid tariff concerns, leading to only eight orders being placed. Additionally, declines were observed in orders for primary metals—particularly aluminum and nonferrous metals, which fell by 0.1% and 2.3%, respectively—and in electrical equipment, appliances, and components, which saw a decrease of 0.3%. Conversely, there were increases in factory orders for computers and electronics, which rose by 1%, machinery by 0.6%, and fabricated metal products by 0.9%. Meanwhile, shipments of manufactured durable goods marginally increased by 0.3%, unfilled orders remained largely unchanged, and inventories experienced a slight rise of 0.2%.