News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • Is the Japanese Yen Hitting a Turning Point? - #USDJPY chart on @TradingView https://t.co/wF2NGNapKc
  • Heads Up:🇹🇭 Balance of Trade (SEP) due at 03:30 GMT (15min) Expected: $-0.8B Previous: $-1.22B https://www.dailyfx.com/economic-calendar#2021-10-22
  • Stock markets may be vulnerable to political volatility as China flexes its military might against Taiwan ahead of the Biden-Xi summit. Will reconciliation yield to rockets? Find out from @ZabelinDimitri here:https://t.co/YscFLDpan6 https://t.co/CoJhC9vHpB
  • Commodities Update: As of 02:00, these are your best and worst performers based on the London trading schedule: Gold: 0.20% Silver: 0.19% Oil - US Crude: -0.09% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/HrKCRbsUJP
  • Forex Update: As of 02:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.20% 🇳🇿NZD: 0.19% 🇨🇦CAD: 0.15% 🇨🇭CHF: 0.03% 🇬🇧GBP: 0.01% 🇯🇵JPY: -0.12% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/b3hu5OEDFQ
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 90.58%, while traders in USD/JPY are at opposite extremes with 77.23%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/Ghq29hRjlq
  • RT @josh_wingrove: Biden went to Baltimore and gave the biggest update yet on the Congressional talks, said the corporate tax rate won’t ri…
  • Gold prices are under pressure after China growth slowed and New Zealand inflation surged, with investors pricing in more aggressive central bank policy outlooks, which is supporting bond yields.Get your market update from @FxWestwater here:https://t.co/9Jiy8IKqQv https://t.co/7ncLoSYQre
  • Australian Dollar gaining during morning Asia trade after reports crossed the wires that #Evergrande made a bond interest payment Sentiment is cautiously improving, #SP500 futures are pushing higher $AUDUSD #SP500 #AUD https://t.co/vWmn6HJfcd https://t.co/FeEc5HTa31
  • RT @josh_wingrove: Some clarity: President Biden's comment on the tax rate was referring to the challenge of having the votes to raise the…
Breaking News: US Durable Goods Orders Beat Estimates, DXY Remains Elevated

Breaking News: US Durable Goods Orders Beat Estimates, DXY Remains Elevated

Richard Snow, Analyst
Advertisement

US Durable Goods Orders Smash Forecasts (1.8% vs 0.7%)

US durable goods orders came in at 1.8% after forecasts only expected a 0.7% increase. Most of the increase was seen in the transportation sector which accounted for the large majority of the 1.8% total increase.

US durable goods orders

For all market-moving data releases and events see the DailyFX Economic Calendar

The reading comes off the back of the Markit Manufacturing PMI data last week that failed to meet expectations but still looks positive at 60.5. Readings over 50 indicate an expansion of the manufacturing sector.

Durable Goods Orders: A Reflection of Moderating Inflation?

The US durable goods data remains well above zero but is well below the 3.5% figure observed in May – a time when inflation data rose higher and higher. Since then, we have seen a modestly lower inflation reading as the Fed remains supportive that price pressures are ‘transitory’ in nature – unlikely to persist for long periods of time.

US Inflation Figures

us inflation

Year on year CPI data was down slightly for August (5.3%) compared to the June and July reading of 5.4%. In general, consumers of durable goods are more likely to make purchases today if they anticipate raising levels of inflation because it makes more sense to buy at current prices than at higher prices down the line. Therefore, the surprise in the data may be suggestive that consumers feel that inflation may remain elevated for a while longer.

US Dollar Basket Reaction to the Durable Goods Orders Print

DXY

Chart prepared by Richard Snow, TradingView

The US Dollar index (DXY) has been trading higher in the lead up to the data but the immediate reaction witnessed a slight pullback from the daily trend. DXY remains up for the day thus far.

--- Written by Richard Snow for DailyFX.com

Contact and follow Richard on Twitter: @RichardSnowFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES