Durable Goods Orders Beat Forecasts as Bond Yields Hit 20-Year Highs

Zacks Investment Research··US·Read original
3▲3 ▼0Impact / 5
Summary · why it matters

U.S. Durable Goods Orders for August came in at 0.0%, beating expectations of a -0.3% decline, while the Non-Defense, ex-aircraft proxy for business spending surged to +1.6%, more than triple the +0.5% analysts had expected. The report followed an unrevised +1.1% gain in July, with ex-transportation orders easing to +0.3% from +0.7% and shipments improving to -0.2% from -0.9%. The data landed as bond yields climbed to multi-decade highs, with the 30-year yield at +5.480%, the 10-year at +5.188% and the 2-year at +4.906%. Pre-market futures were higher, with the Dow up +111 points, the Nasdaq up +110 and the S&P 500 up +17, helped by lower oil prices at $92 per barrel on WTI and $104 per barrel on Brent crude. Attention now turns to the final read on the University of Michigan Consumer Survey, whose preliminary reading fell to 47.8 from 51.7, and to next week's Jobs Week data, with September non-farm payrolls expected at +162K and ADP private-sector payrolls at +38K.

Impact on assets 4

Cloud & Digital Infrastructure▲
Others▲