July US factory orders +0.4% vs +0.9% expected

Highlights of the factory orders report, which includes revisions to durable goods data:

• Prior was +1.8% (revised to +2.2%)
• Ex-transport -0.6% vs +0.6% prior
• Prior durable goods orders nondefense ex-air +2.2%  (revised to 2.1%)
• Durable goods orders ex-transport revised to +0.4% from +0.6%

The initial release of the durable good orders report was strong and this does little to change that. In terms of factory orders, the miss in the headline is essentially mitigated by the revision to the prior.

There isn't much to dwell on here but there have been questions about the strength of US manufacturing as emerging markets stumble and the US dollar weighs but so far the hard data isn't showing any kind of problem.

The one worry is the ex-transports side of factory orders. The prior was revised slightly higher but otherwise the metric has been flat or in contraction for a year.