United States Nondefense Capital Goods Orders excl. Aircraft m/m

Nondefense Capital Goods Orders excl. Aircraft m/m show a change in the value of orders for capital goods received by US manufacturers in the given month compared to the previous one. Nondefense capital goods do not include aircrafts and products manufactured by order of the US Department of Defense (such as weapons, military uniforms, etc.).

Capital goods include material assets of large and small manufacturers of goods and services. Such goods include among other things cars, equipment, farm machinery, transportation, medical equipment, etc. Capital goods include large and complex objects, as well as wires, respirators, digital equipment, musical instruments, beauty industry devices, etc.

Thus, capital goods orders can be considered a leading indicator of development of the industry and service sector. Economists analyze the indicator in order to evaluate whether companies are planning to expand their activities (adjusted for depreciation, i.e. the annual loss of the value of tangible assets).

Growth in the number of capital goods orders allows forecasting expansion of production activity and improvement of national business climate. Therefore the growth may have a positive effect on dollar quotes.