US durable goods orders likely rose in July on increased aircraft orders

US durable goods orders in July are likely to have increased on aircraft orders. According to a Societe Generale research report, the headline durable goods orders are expected to have gained 2.7 percent in July, helped by a rebound in aircraft orders. Boeing recorded that orders rose sharply to 73 in July from 12. The value of these orders is estimated to have increased sharply by around USD 8 billion in July.

Keeping the volatile aircraft category aside, the underlying details are expected to have shown continued weakness in capital spending, however. Admittedly, orders stripping transportation might have increased a tad by mere 0.1 percent, after falling a 0.4 percent in June. In the meantime, non-defense capital orders, stripping aircraft, which is a proxy for business investment, are expected to have increased 0.2 percent in July following a rise of 0.4 percent in June, stated Societe Generale.