US orders for business investment goods fell 2.7 per cent in February, biggest drop in 7 months

By Martin Crutsinger, The Associated Press

WASHINGTON – U.S. orders for long-lasting goods that signal business investment plans fell in February by the largest amount in seven months, although the decline followed a strong month in January and may prove to be a temporary setback.

The Commerce Department says orders for core capital goods declined 2.7 per cent in February. Demand weakened for machinery and communications equipment. The decline followed a 6.7 per cent surge in January, which was the biggest one-month gain in nearly three years.

Overall orders for durable goods surged 5.7 per cent in February, the biggest increase in five months. The increase was driven by a rebound in the volatile commercial aircraft category.

Durable goods are products expected to last at least three years. Orders can fluctuate sharply from month to month.

Top Stories

Top Stories

Most Watched Today