LONDON (ShareCast) - (Sharecast News) - Durable goods orders in the States surged in March, as Boeing ramped up its production cadence following a very damaging strike.
According to the Department of Commerce, in seasonally adjusted terms, total durable goods orders surged at a month-on-month pace of 9.2% to reach $315.729bn.

However, excluding those from the transportation sector, orders were roughly flat at $191.12bn.

Orders for transportation equipment were ahead by 27.0%, with those for autos and parts up by 2.3% to $63.94bn and those for commercial aircraft by 139% to $44.64bn.

Orders for capital goods excluding aircraft and defence jumped by 29.4% to $114.95bn.

Commenting on the latest figures for durable goods, Bradley Saunders at Capital Economics attributed the jump in orders to the restart of production at Boeing.

But Bradley went on to tell clients: "With the post-strike boost from the restart in production at Boeing coming to an end and tariffs now in place, we are pessimistic about the outlook for equipment investment this year."

"[...] Concerningly, core goods orders - which exclude transport - flatlined in March. And with production at Boeing surpassing its pre-strike August levels last month, the boost to orders from the restart looks to have run its course."

Email this article to a friend

or share it with one of these popular networks:

• DIGG
• FACEBOOK
• STUMBLEUPON
• MIXX
• YAHOO BUZZ
• DELICIOUS
• REDDIT
• NEWSVINE