MNI DATA IMPACT: US Durable Orders As-Expected -1.6%>

--Feb Durable Goods Orders Ex. Transportation Rise 0.1%

By Kevin Kastner, Shikha Dave, and Harrison Clarke

     WASHINGTON (MNI) - February durable goods orders data were in line 

with expectations for an aircraft-led decline, with the headline number 

falling by 1.6%, compared with a 1.8% decline expected by a Bloomberg 

median and a 1.6% decline in an MNI survey. 

     Here are some of the key takeaways from the data released Tuesday: 

     - The durable goods orders drop was mostly due to a 4.8% decline in 

transportation orders, particularly a 31.1% drop in nondefense aircraft 

orders. Boeing data were extremely weak in February, so a very large 

decline in aircraft orders was expected. 

     - Excluding transportation, new orders rose 0.1% in the month, just 

above the flat reading expected by an MNI survey, and as expected by the 

Bloomberg consensus. There were gains in primary metals, fabricated 

metals, and electrical equipment, and declines in computers and 

electronic products and the "all other durable goods" component. 

     - Nondefense capital goods news orders were down 6.3% in February, 

and were still down by 0.1% excluding aircraft. Nondefense capital goods 

shipments rose 0.6% in the month, while shipments ex. aircraft were 

flat, suggesting some weakness for first quarter nonresidential fixed 

investment after a strong gain in the fourth quarter.  

     ** MNI Washington Bureau: 202-371-2121 ** 

[TOPICS: MAUDS$,MT$$$$,M$U$$$,MAUDR$]