The number for September orders of durable goods is one of three that were anticipated as indicators of where the economy is headed … or if it is merely treading water. (Housing prices and consumer confidence are the others.) Expectations were for a modest increase in durables after a bad number last month.
So much for expectations. As Lorraine Woellert of Bloomberg reports:
Orders for durable goods unexpectedly dropped in September for a second month as demand for machinery and computers slumped. Bookings for goods meant to last at least three years decreased 1.3 percent after falling 18.3 percent in August, a Commerce Department report showed today in Washington. The median forecast of 83 economists surveyed by Bloomberg called for a 0.5 percent gain.
