IIt’s Friday and that means it’s time to review the latest economic data and identify which pockets of the economy are heating up and which are slowing down. Don’t worry about catching every headline and every report throughout the week—I recap all of the most important news impacting your wealth right here every Friday. Let’s take a look at this week’s big headlines…
Factory Goods Orders
The Commerce Department reported on Tuesday that factory goods orders posted its first drop in five months. During the month of April, factory goods orders slipped 0.2%. That was in line with economists’ estimates. Factory goods orders for March were revised to show a 1% increase. In the past 12 months, factory goods orders are up 4.4%. The main culprit for April’s decline was an 8.3% decrease in mining, oilfield and gas field machinery orders. Overall, machinery orders dipped 0.7% in April.
Wholesale inventories in the U.S. also dropped in April, falling 0.5%. That marks the biggest decline in wholesale inventories in more than 12 months. The decline was driven by a 5% drop in petroleum inventories and a 1.4% dip in automotive inventories. Paper inventories also posted their biggest decrease since January 2013, falling 1.8%. At the current sales pace, it would take wholesalers about 1.28 months to empty their shelves.
That’s all I have for you this week; I’ll be in touch again next week with the latest ratings updates out of Portfolio Grader.
Have a great weekend,