WASHINGTON (AP) – U.S. orders for long-lasting manufactured goods dropped in April for the first time in five months, and a key category that tracks business investment went nowhere for the second straight month.
The Commerce Department said Friday that durable goods orders fell 0.7 percent in April after rising 2.3 percent in March. The April downturn was the first since durable goods orders fell 4.6 percent in November.
Despite the April drop, American manufacturing has bounced back in recent months from a slump early last year.
Orders for transportation equipment fell 1.2 percent last month, pulled down by a 9.2 percent drop in the volatile commercial aircraft category. Orders for military aircraft jumped 7.1 percent. But orders for cars, trucks and auto parts rose 0.3 percent last month after falling in February and March.
Orders for capital goods, excluding aircraft and military equipment, were flat for the second straight month – potentially worrisome because that category offers clues about where business investment is headed.