New Orders For Factory-Made Goods See Steepest Drop In Three Years [View all]
Source: LA Times
Demand for manufactured products posted its largest decline in three years in March, according to a government report released the day after several private reports found major gains in U.S. factory activity.
The Commerce Department said that new orders slumped 1.5%, falling $7.1 billion to $460.5 billion, after growing 1.1% in February. That's the steepest drop since March 2009.
Demand for transportation equipment suffered the most dramatic plunge, diving 12.6%. Strong auto sales earlier in the year cooled off last month as vstmakers such as Hyundai, Kia and Nissan watched their previously double-digit gains shrink.
Without transportation, new orders overall were flat. Durable goods -- products designed to last at least three years -- saw demand drop 0.8%.