US factory orders fall for second month in a row

Thursday 06 March 2014 15.46
New orders at US factories have fallen in three of the last four months
New orders at US factories have fallen in three of the last four months

New orders for US manufactured goods fell for the second month in a row in January as civilian aircraft and computer orders slid, official data released today has shown.

New factory orders fell 0.7% in January after a revised 2% drop in December, the US Commerce Department said.

Analysts had projected a smaller 0.5% decline in orders. The December number was worse than the previous estimate of a 1.5% drop.

New orders have fallen in three of the last four months.

Excluding transportation equipment orders, which can be volatile month-over-month, factory orders edged up 0.2% in January following a slight decline the prior month.

Orders for civilian aircraft and parts dropped 20.2% and those for ships and boats fell 26.4%.

Computer orders posted the steepest decline, plunging 46%.

Orders for durable goods - items aimed at a useful life of several years which make up about half of all factory orders - fell 1% after a plunge of 5.3% in December.