For the first time in five months, the orders for durable goods in the US fell in the month of January 2013. The numbers fell as aircraft orders have plunged. The US Commerce Department said that the numbers fell by up to 5.2 % last month.
The data excludes transportation, which can be volatile and new orders were helped by stronger than expected non-defence capital goods, which rose by 1.9%, the highest since December 2011. On the other hand, data revealed that the number of previously owned US homes rose to a near three-year high in the month of January 2013.
According to the National Association of Realtors, the pending home sales increased by 4.5% last month, to the highest level since April 2010. This happened when the tax credit for home buyers was about to expire. On February 26, 2013, the US economy registered surprisingly strong consumer confidence and new home sales data.
Moreover, the orders for military aircraft fell by 63.8%, as the government tightened its defense spending. Even the orders for non-defense aircraft fell by 34%.Senior economist at Moody’s Analytics, Aaron Smith, said that the transportation orders tended to be volatile and very strong at the end of 2012. It remains to be seen what trends will be followed during the remainder of 2013.