Durable Goods Orders May Point to U.S. Manufacturing Slowdown
Bloomberg reported that orders for durable goods in May probably failed to make up for the worst four months since the recession, indicating U.S. manufacturing will cool. Bloomberg said estimates in the Bloomberg survey of economists ranged from a decline of 1.5% to an increase of 2% when the Commerce Department data are released on June 27.
The projected 0.5% gain in bookings for goods meant to last at least three years would follow little change in April, according to the median forecast of 76 economists surveyed by Bloomberg News. Orders fell 6.6% in the first four months of the year, the weakest stretch since the same period in 2009, during the last recession, Bloomberg said.
Bloomberg quoted a senior U.S. strategist at TD Securities as saying, “We’re seeing signs of weakness in manufacturing. There’s a lot of uncertainty about the nature of demand, about the global outlook, about the U.S. outlook.”
To read the Bloomberg story, click here.