Global| Apr 02 2015U.S. Factory Sector Orders Increase With Petroleum
by:Tom Moeller
|in:Economy in Brief
Summary
New orders in the manufacturing sector improved 0.2% during February following a 0.7% January decline, revised from -0.2%. A 0.5% decline was expected in the Action Economics Forecast Survey. Durable goods orders declined 1.4% (+0.5% [...]
New orders in the manufacturing sector improved 0.2% during February following a 0.7% January decline, revised from -0.2%. A 0.5% decline was expected in the Action Economics Forecast Survey.
Durable goods orders declined 1.4% (+0.5% y/y), the same as in the advance report. Machinery orders dropped 1.4% (-5.5% y/y) and transportation orders were off 3.3% (-2.7% y/y). Electrical equipment orders gained 3.0% (3.0% y/y). Orders for nondurable goods (which equal shipments) increased 1.8% (-8.5% y/y) following sharp declines in the prior five months. The gain was powered by an 11.3% rise (-30.1% y/y) in petroleum orders. Apparel orders were unchanged (13.4% y/y) and basic chemical orders slipped 0.2% (-3.3% y/y). Food product orders were off 0.2% as well (+1.4% y/y). Durable goods shipments slipped 0.2% (+3.9% y/y) led by a 0.3% decline (+3.1% y/y) in electrical machinery. Computers & electronics shipments gained 0.6% (0.1% y/y) and machinery shipments rose 0.6% (0.6% y/y).
Unfilled orders declined 0.5% (+8.8% y/y) while backlogs excluding the transportation sector slipped 0.3% (+5.3% y/y). Machinery backlogs declined 1.0% (+3.2% y/y). Order backlogs of computers & electronic products gained 0.4% (7.8% y/y) while unfilled orders of furniture improved 0.9% (14.3% y/y).
Inventories ticked 0.1% higher (1.3% y/y) but excluding the transportation sector they slipped 0.1% (-0.3% y/y). Nondurable goods inventories edged down 0.1% (-4.9% y/y). That followed a 1.7% January fall which reflected a 10.1% drop in petroleum inventories. Basic chemical inventories fell 0.5% (-1.7% y/y) but apparel inventories gained 1.9% (27.1% y/y). Durable goods inventories rose 0.3% (5.3% y/y). Computers & electronic products inventories increased 0.7% (4.1% y/y) and electrical equipment gained 0.1% (-0.1% y/y).
The factory sector figures are available in Haver's USECON database.
| Factory Sector- NAICS Classification (%) | Feb | Jan | Dec | Y/Y | 2014 | 2013 | 2012 |
|---|---|---|---|---|---|---|---|
| New Orders | 0.2 | -0.7 | -3.5 | -4.3 | 2.8 | 2.7 | 2.9 |
| Shipments | 0.7 | -2.3 | -0.9 | -2.6 | 2.3 | 2.0 | 4.0 |
| Inventories | 0.1 | -0.4 | -0.4 | 1.3 | 2.5 | 2.3 | 2.4 |
| Unfilled Orders | -0.5 | -0.3 | -0.9 | 8.8 | 9.9 | 7.0 | 3.7 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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