Durable goods orders drop
NEW orders for US manufactured goods such as cars and planes fell unexpectedly for a second straight month in June, in a sign that the economic recovery cooled in the second quarter.
However, the Commerce Department report on durable goods showed that cash-rich businesses continued to invest in equipment. This implied that underlying demand remained intact with firms exhibiting confidence in the moderate economic recovery.
Durable goods orders dropped one per cent after falling 0.8 per cent in May, surprising markets that had expected a one per cent increase.