National + Retail | August 27, 2018

U.S. Durable Goods Orders Fall in July

Durable goods orders declined 1.7% last month, according to a report from the Commerce Department. That’s the third drop in the past four months, and was largely dragged lower by a 35.4% drop in orders for nondefense aircraft.

U.S. factory goods encompasses such items as automobiles and appliances and are generally expected to last at least three years. The sector had been a strong source of growth for most of 2018. Durable goods orders have risen 8.6% so far this year. July’s orders increased 1.4%, if aircraft and non-military goods aren’t counted, which bodes will for the economy. Business investment, consumer spending, surging exports and increased government outlays all contributed to the acceleration in economic growth overall in the second quarter.

Uncertainty surrounding trade war tariffs between the U.S. and key trade partners such as China, the European Union, Canada and Mexico has many manufacturers less assured about the future. That’s especially true for those that operate in global markets since they may be faced with higher prices and fewer sales.

Manufacturers were still expanding despite international trade becoming a dominant concern in the latest report from the Institute for Supply Management. In a survey of purchasing managers, the manufacturing index dropped in July to 58.1, from 60.2 in June. A ranking above 50 indicates growth.

Growth is still expected to remain healthy for the balance of 2018, as a result of tax cuts and increased government spending.

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About Dennis Kaiser

Dennis Kaiser is Vice President of Content and Public Relations for Connect Commercial Real Estate. Dennis is a communications leader with more than 30 years of experience including as a journalist and in corporate and agency marketing communications roles. He is responsible for Connect’s client content operations and is involved in a range of initiatives ranging from content strategy, message development, copywriting, media relations, social media and content marketing services. In his most recent corporate communications roles, he led a regional public relations effort across Southern California for CBRE, played a key marketing role on JLL’s national retail team, and was responsible for directing the global public relations effort at ValleyCrest, the nation’s largest commercial landscape services company. In addition to his vast commercial real estate experience, Dennis has worked on communications and launch strategies for a number of residential projects such as Disney’s Celebration in Florida, Ritter Ranch in Palmdale California (7,200 homes, 22,000 acres), WaterColor in Florida and PremierGarage in Phoenix. Dennis’s agency background included firms such as Idea Hall and Macy + Associates. He has earned an outstanding reputation with organization leaders as a trusted advisor, strategic program implementer, consensus builder and exceptional collaborator. Dennis has developed and managed national communications programs for Fortune 500 companies to start-ups, both public and private. He’s successfully worked with journalists across the globe representing clients involved in major-breaking news stories, product launches, media tours, and company news announcements. Dennis has been involved in a host of charitable and community organizations including the American Cancer Society, Easter Seals, BoyScouts, Chrysalis Foundation, Freedom For Life, HOLA, L.A.’s BEST, Reach Out and Read, Super Bowl Host Committee, and Thunderbirds Charities.