US durable goods orders posted much stronger-than-expected growth in April, highlighting continued resilience in business investment and manufacturing demand despite elevated interest rates and growing inflation concerns. Headline durable goods orders jumped 7.9% mom to USD 346.0B, far above expectations for a 3.3% mom increase. The sharp gain was led by transportation equipment orders, which surged 21.5% mom to USD 130.9B.
Underlying demand also showed broad improvement beyond the volatile transportation category. Durable goods orders excluding transportation rose 1.1% mom to USD 215.1B, beating expectations of 0.5% mom. Meanwhile, ex-defense orders climbed 8.1% mom to USD 320.3B, suggesting private-sector business demand remained relatively firm.
The data indicates that corporate spending momentum has not deteriorated significantly despite tighter financial conditions and uncertainty tied to higher energy costs and the Middle East conflict.
| Indicator | Forecast | Actual |
|---|---|---|
| Durable Goods Orders (MoM) | 3.3% | 7.9% |
| Durable Goods Ex-Transportation (MoM) | 0.5% | 1.1% |
| Durable Goods Ex-Defense (MoM) | N/A | 8.1% |
| Transportation Equipment Orders (MoM) | N/A | 21.5% |
