EmailFactory orders fell 0.6% in April after declining 2.1% in March. The Briefing.com consensus expected factory orders to increase 0.1%. Durable goods orders were revised down from +0.2% in the advance release and now show no growth in April. Durable orders fell 3.7% in March. Transportation orders increased 2.2% as orders for nondefense aircraft rebounded 7.2% after falling 46.6% in March. Excluding transportation, durable goods orders were revised down to -0.9% in April from -0.6% in the advance report.
Nondurable goods orders dropped 1.1%. The decline was mostly due to falling oil prices as the value of petroleum orders fell 4.4%. Business investment demand weakened from the advance release as orders of nondefense capital goods were revised down from -1.9% to -2.1%. Shipments, which directly affect second quarter GDP growth, were revised down from -1.4% to -1.5% and point to a downward shift in our second quarter GDP forecast.
