New factory orders fell in February for the first time in nine months.
By the numbers: New orders decreased $2.7 billion or 0.5% to $542.0 billion, the U.S. Census Bureau reported today, in line with expectations.
- This followed a 1.5% January increase.
Of note: Part of the drop could be attributable to consumers shifting spending back to services, following more than two years of pandemic-inducted spending on goods that helped to crash the world's supply chains.
- Data last week pointed to a seven-month high in consumer spending on services for the month of February.
Details: The decline was led by transportation equipment (-5.3%), down following three consecutive monthly increases.
- New orders for manufactured nondurable goods increased 1.2%.