Release Explanation: The value of new purchase orders placed with manufacturers that have a life span of more than three years. These can include; aircraft, household appliances, computers and automobiles. Builds an economic picture of how busy the manufacturing industry will be over the coming months and is considered a leading indicator. Affects Retail Sales, CPI and GDP. A currency will be affected eventually by the consequences of these numbers, not always straight away.
Trade Desk Thoughts: New orders for durable goods decreased $1.8 billion or 1.0% in November, the Census Bureau announced today. This was the fourth consecutive monthly decrease and followed an 8.4% October decrease. Excluding transportation, new orders increased 1.2%. Excluding defense, new orders decreased 0.9%. Year over year, durables were 4.2% lower.
A key barometer of business equipment spending, orders for non-defense capital goods excluding aircraft, rose by 4.7%, after decreasing 6.6% in October. Year over year, orders were up 1.4%.
November shipments for non-defense capital goods excluding aircraft rose by 0.2%, after falling 3.8% in October; the shipments are used in calculating gross domestic product. Unfilled orders, a sign of future demand, decreased in November by 0.6%.
Forex Technical Reaction: Markets were little changed after the report was released on very thin holiday volume.