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  • US Durable Goods Orders decline 6.1% in January vs -4.5% expected

    From fxstreet.com

    Durable Goods Orders in the United States declined by 6.1%, or $18 billion, to $276.7 billion in January, the Census Bureau reported on Tuesday. This reading followed the 0.3% decrease recorded in December and came in worse than the market expectation for a contraction of 4.5%. "Excluding transportation, new orders decreased 0.3%," the publication read. "Excluding defense, new orders decreased 7.3%. Transportation equipment, also down three of the last four months, led the decrease, $17.4 billion, or 16.2%, to $89.8 billion." These numbers don't seem to be having a significant impact on the US Dollar's (USD) ... (full story)

Economy is cooling, no need for raising interest rates further, can't see why dollar is strengthening on this news.
Aside from the drop in new orders of $18B, the two points that stick out in this report are:

Transportation Equipment:
There is a substantial increase in unfilled orders for transportation equipment by 22.0% YTD, which could be due to supply chain issues or increased demand in this category.

Capital Goods:
For capital goods, unfilled orders have seen a significant rise of 12.0% YTD, which may suggest supply chain constraints or increased demand that has not yet been met.

Supply constraints?
We must learn who is gold, and who is gold plated
EventsTrader Live Return This Year: 54.3%
Quoting Bakker
Economy is cooling, no need for raising interest rates further, can't see why dollar is strengthening on this news.
I guess it was stop fishing. I already expected that the CB confidence data will be worse than expected after this irrational move in EURUSD when the Durable Goods Orders was published worse than expected. It should increase now.
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