Orders To U.S. Factories Unexpectedly Declined 0.5% In June

Orders placed with U.S. factories unexpectedly declined in June, reflecting less demand for business equipment and the biggest decrease in bookings for non- durable goods in more than three years, according to Bloomberg's Best.

The 0.5 percent drop in bookings followed a revised 0.5 percent increase in the prior month, the Commerce Department said today in Washington. The median forecast of economists in a Bloomberg News survey called for a 0.5 percent gain. June orders for durable goods climbed 1.3 percent, revised from the 1.6 percent surge reported last week. Demand for non-durable items, reported today for the first time, slumped 2 percent, the biggest drop since March 2009.

Orders may have waned last month as well, according to a purchasing managers’ report yesterday that showed manufacturing unexpectedly contracted in July. The industry, facing the headwinds of Europe’s debt crisis, a weakening global economy and a slowdown in corporate investment, is providing less of a boost to the economy.

Read all about it at http://www.bloomberg.com/news/2012-08-02/orders-to-u-s-factories-unexpectedly-declined-0-5-in-june.html