durable goods orders recorded their biggest fall in nearly a year giving economists
reason for concern about the health of the economy.
Commerce Department reported a decline in durable goods orders of 7.3 percent
in July, the biggest drop in nearly a year and much larger than economists’
expectations of a 4.0 percent decline. The July drop snapped a three-month streak
of gains and is the largest drop since August of 2012.
for non-defense capital goods excluding aircraft is an indicator of business
spending and fell in July as well, stopping a four-month run of gains. Its fall
of 3.3 percent was the largest decline since February.
decline in orders for both durable and capital goods are an indication that
manufacturing will slow and not bounce back as quickly as many economists projected.
When the slowdown in residential construction is factored in, it is likely the
economy will not grow much from the 1.7 percent annualized pace in second