Durable goods orders are collapsing.

Discussion in 'Economy' started by Neubarth, Aug 25, 2010.

  1. Neubarth
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    Neubarth At the Ballpark July 30th

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    WASHINGTON (AP) -- Orders to U.S. factories for big-ticket manufactured goods increased slightly in July, but businesses spent less as the economic recovery lost momentum.

    Demand for durable goods rose 0.3 percent last month, the Commerce Department said Wednesday. The overall increase was driven by a 75.9 percent increase in orders for commercial airplanes.

    Without the volatile transportation sector, orders dropped 3.8 percent -- the steepest decline since January. Businesses spent less on equipment and machines. Orders for capital goods fell 8.0 percent.

    Machinery and computers were especially hard-hit. Orders for machinery dropped 15 percent, the biggest decline on record for that category.

    The report was grim compared to June's results. Overall orders in June declined by a revised 1.0 percent. But excluding transportation, orders rose 0.2 percent.
     
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  2. topspin
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    topspin BANNED

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    so growing slowly is collapsing when your out of power. OK got it.
     
  3. Neubarth
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    Neubarth At the Ballpark July 30th

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    Not so. when one item is up and ninety items are down there is a problem brewing. It matters not that the one item which is subject to huge fluctuations (because it is such a high ticket item) was up. What matters is the direction of most of the purchases.

    Durable goods are not being purchased. If this continues, people in those manufacturing jobs will start losing their jobs. You can not have a recovery if that happens.
     
  4. topspin
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    topspin BANNED

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    struggling maybe collapsing horseshit.
     
  5. xotoxi
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    xotoxi Platinum Member

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    [​IMG]
     
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  6. Mad Scientist
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    Mad Scientist Deplorable Gold Supporting Member Supporting Member

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    Neubarth is right, the "recovery" crapping out. Don't shoot the messenger eh?
     
  7. xotoxi
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    xotoxi Platinum Member

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    That's why I thanked him.
     
  8. iamwhatiseem
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    iamwhatiseem Gold Member

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    Collapsing?...umm no....stagnant to creeping downward - yes.
    This coupled with crappy semi-conductor orders points to a pretty lousy job market now through December.
     
  9. Toro
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    Toro Diamond Member

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    I think the economy is beginning to contract again.
     
  10. iamwhatiseem
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    iamwhatiseem Gold Member

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    It never grew in the first place.
    What it did do was temporarily expand in a predictable way to enormous bailouts and stimulus handouts. When that ran out, the contraction continues.
     

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