U.S. Core Durable Goods Orders (MoM)
Published:
A monthly measure of U.S. orders for long-lasting manufactured goods, excluding transportation equipment.
Full explanation
U.S. Core Durable Goods Orders measures the monthly change in new orders for long-lasting manufactured goods, excluding transportation equipment. Durable goods are items intended to last at least three years, such as machinery, computers, and appliances. Removing transportation helps reduce the influence of large and irregular aircraft and vehicle orders. The figure is drawn from the U.S. Census Bureau's monthly Manufacturers' Shipments, Inventories, and Orders survey.
Why traders watch it
It offers a timely read on demand in U.S. manufacturing and can inform views on business activity, growth, and the interest-rate outlook.
Market interpretation
- U.S. dollar
- Unexpected results can influence views of U.S. growth and interest-rate expectations, which may affect USD pricing.
- U.S. Treasury market
- The release can contribute to changes in growth and policy expectations that influence Treasury yields.
- U.S. equity index futures
- Manufacturing-demand signals can affect sentiment toward economically sensitive sectors and the wider equity market.
Stronger vs weaker outcomes
A stronger-than-expected increase may be read as evidence of firmer manufacturing demand, while a weaker result may point to softer order activity. The market response can also depend on revisions and on whether the movement is broad based across industries.
A higher-than-expected reading may be interpreted as firmer underlying demand for manufactured durable goods, subject to the composition of orders and revisions.
A lower-than-expected reading may be interpreted as softer underlying manufacturing demand, subject to the composition of orders and revisions.
Higher readings can suggest firmer manufacturing demand, while lower readings can suggest softer demand; revisions and order composition remain important.
Typical volatility
Moderate. The series is reported in nominal dollar values and can be revised. Excluding transportation reduces, but does not eliminate, month-to-month volatility or the influence of large individual orders.
Trading considerations
- Compare the result with the consensus forecast and prior-month revisions rather than focusing only on the headline monthly change.
- Review the headline durable goods orders release and the underlying industry detail for context.
- Consider whether the move is broad based or concentrated in a small number of manufacturing categories.
- Expect liquidity and spreads to change around a scheduled U.S. economic release, particularly when it coincides with other major data.
Educational guidance only — never a trading signal or recommendation.
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