Updated: 05-Dec-22 10:32 ET
| October Factory Orders |
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| Updated: 05-Dec-22 10:32 ET |
Highlights
- Factory orders for manufactured goods increased 1.0% month-over-month in October (Briefing.com consensus 0.7%) following an unrevised 0.3% increase in September.
- Shipments of manufactured goods jumped 0.7% after increasing 0.3% in September.
Key Factors
- New orders for durable goods rose 1.1% m/m in October after increasing 0.2% in September.
- New orders for nondurable goods increased 1.0% m/m in October after increasing 0.3% in September.
- Nondefense capital goods orders, excluding aircraft -- a proxy for business spending -- were up 0.6% m/m in October after declining 0.7% in September.
- The inventory-to-shipments ratio held steady at 1.45.
Big Picture
- The key takeaway from the report is the quick rebound seen in business spending, evidenced by the 0.6% increase in nondefense capital goods orders excluding aircraft, and the sizable jump in shipments of nondefense capital goods excluding aircraft (+1.5%) that will compute favorably for Q4 GDP forecasts.
| Category | OCT | SEP | AUG | JUL | JUN |
| Factory Orders | 1.0% | 0.3% | 0.2% | -1.0% | 1.8% |
| Less Defense | 0.9% | 0.8% | 0.0% | -0.6% | 1.1% |
| Durable Goods | 1.1% | 0.2% | 0.2% | -0.1% | 2.3% |
| Nondurable Goods | 1.0% | 0.3% | 0.2% | -1.9% | 1.4% |
| Unfilled Factory Orders | 0.6% | 0.5% | 0.5% | 0.7% | 0.8% |
| Factory Shipments | 0.7% | 0.3% | 0.7% | -0.9% | 0.8% |
| Factory Inventories | 0.5% | 0.1% | -0.1% | 0.0% | 0.4% |
| Inventory/Shipment Ratio | 1.45 | 1.45 | 1.46 | 1.47 | 1.46 |
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