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Orders for U.S. Durable Goods Fell More Than Forecast

Bloomberg (08/26/13) Michelle Jamrisko

Orders for U.S. durable goods declined more than expected in July following three months of increases, suggesting manufacturing will be slow to rebound. Bookings for durable goods fell 7.3%, after a 3.9% increase in June, according to the U.S. Department of Commerce. Economists surveyed by Bloomberg had forecasted a 4% decline.

Soft global demand and the effects of federal spending cuts continue to restrain manufacturing, which comprises approximately 12% of the economy. Orders excluding transportation equipment, which tend to be volatile, fell 0.6% following a 0.1% gain in June.