US Durable Goods

The US Durable Goods Orders for September will be released at 8:30 AM EDT.  Last month orders declined by a larger than expected 4.8%.  The Ex Transportation component fell by 3.3%.  The decline was in reaction to higher credit costs and lower investment by companies as they prepare from slower exports and domestic spending.  Non defense capital goods excluding aircraft, a measure of future business investment, dropped 2%. 

This month the expectation is for a decline of 1.1%.  The ex Transportation component is expected to decline by 1.5%. 

The US Durable Goods Orders for the month of August will be released at 8:30 AM EDT.  Last month the measure showed a gain of 1.3% for the headline figure and the ex Transportation index rose 0.7%.  The gain was a surprise and mainly due to export growth.  This month the expectation is for the gains to be erased.  The measure if forecast to decline by 1.9%.  The ex-transportation result is expected to fall by 0.5%. 

Come in at +0.8 and Ex Transportation + 2.0. This is the largest reading this year.

Should be good for stocks and the dollar but the number does have a tendency to be volatile. 

Growing exports is reported to be contributing to the manufacturing sector.  A lower dollar makes US goods abroad more competitive.

-0.5 versus -1.5%

Ex Transportation +2.5% versus -0.5% Expected.  Last months was revised higher to 1.7% from 1.5%.  This is stronger than expected and the dollar is continuing to be bid. 

Demand for Machinery and electrical from China and Brazil are helping