Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Economic Watch: Durable Goods Orders, Consumer Confidence Both Fall

A stretch of recently leaner times for at least one part of the nation’s manufacturing sector could be nearing an end, despite a new report showing lower new orders.

Evan Lockridge
Evan LockridgeFormer Business Contributing Editor
October 27, 2015
Economic Watch: Durable Goods Orders, Consumer Confidence Both Fall

 

3 min to read


A stretch of recently leaner times for at least one part of the nation’s manufacturing sector could be nearing an end, despite a new report showing lower new orders, as a key economic indicator turned nearly positive from the month before.

The U.S. Commerce Department said on Tuesday an advance report shows orders for durable goods fell 1.2% in September from the month before, while the August level was revised downward showing a 3% drop. The September decline was the fourth out of the past six months.

Ad Loading...

This sector, which includes items designed to last at least three years, was led by a 2.9% decline in new transportation orders.

In contrast, shipments of durable goods, up three out of the last four months, increased 0.2% in September from the month before, following an August 0.5% drop that was also revised slightly downward.

Shipments also were led by transportation, up 0.6%, the third increase out of the past four months.

Ad Loading...

Of special notice was the 0.3% drop in orders for nondefense capital goods excluding aircraft, an indicator of future business investment. This followed a 1.6% decline in August, worse than the first reported 0.8% drop. The corresponding shipments measure rose 0.5%, following a revised 0.8% August decline that was originally a 0.4% drop.

However, RBC Economics pointed out that even with declines in August and September, orders of nondefense capital goods increased an annualized rate 6.2% in the third quarter, marking the first increase in the measure in a year.

“The corresponding shipments component rose 2.2% in the third quarter after inching up 0.3% in second quarter and falling 4.4% in first quarter, while a continued widening in the capital goods trade deficit suggests that sales growth to domestic purchasers has been somewhat stronger,” said Nathan Janzen, senior economist. “Today’s report remains broadly consistent with our monitoring for a 7.5% gain in real third quarter equipment investment.”

Even with the improvement in this area, the overall report, coupled with others recently, likely means an interest rate hike is off the table as the Federal Reserve meets this week, according to Lindsey Piegza, chief economist at Stifel Fixed Income.

“This morning's larger-than-expected decline in durable orders is the latest in the slew of disappointing figures suggesting the underlying momentum of the U.S. economy is slowing markedly, taking the likelihood of a rate hike in October off the table, or by the end of the year for that matter,” she said.

Ad Loading...

The Fed is set to make is announcement Wednesday afternoon as to whether it is increasing rates.

Consumers Less Happy Than Last Month

A separate report also released Tuesday shows a drop in consumers’ feeling about the economy, according to one private research group.

The Conference Board Consumer Confidence Index, which had increased moderately in September, declined in October to 97.6, down from 102.6 the month before.

“Consumers were less positive in their assessment of present-day conditions, in particular the job market, and were moderately less optimistic about the short-term outlook," said Lynn Franco, director of economic indicators at The Conference Board. "Despite the decline, consumers still rate current conditions favorably, but they do not anticipate the economy strengthening much in the near term."

The Present Situation Index fell from 120.3 last month to 112.1 in October, while the Expectations Index edged down to 88.0 from 90.8 in September.

Ad Loading...

“Households’ optimism over recent months has been buoyed by a sanguine assessment of current conditions that had masked uncertainty over future economic prospects, although the resilience of the former came under pressure in October,” said Laura Cooper, economist at RBC Economics. “Overall, as firms continue to hire, housing activity strengthens and low gas prices persist, we anticipate that consumer confidence will resume an upward trend, thereby supporting consumer spending sustaining a near 3% annualized rate of increase over the coming quarters.”


More Fleet Management

Illustration of cybersecurity images with "The Cyber Stop" text
Fleet Managementby Ben WilkensApril 30, 2026

AI Security Risks for Trucking Fleets: What to Know About Deepfakes and Agentic AI

As fleets adopt artificial intelligence for routing, maintenance, and load matching, new security risks are emerging. Learn where the vulnerabilities are and how to put the right controls in place.

Read More →
Mobile tablet showing Motus screen against highway background with Motus logo

FMCSA’s Motus System Is Coming. What Fleets Need to Know Now

The long-awaited registration system promises a single portal — and tighter fraud controls.

Read More →
CargoNet 2026 Qi report.
Fleet Managementby News/Media ReleaseApril 24, 2026

Cargo Theft Incidents Fall in Q1, but Organized Crime and Impersonation Drive New Risks

CargoNet reports fewer supply chain crime events to start 2026. But losses hold steady as organized crime shifts tactics toward impersonation schemes and high-value goods.

Read More →
Ad Loading...
Graphic with light bulbs, HDT Truck Fleet Innovators logo, and the word Nominations
Fleet ManagementApril 24, 2026

Nominations Open for HDT Truck Fleet Innovators 2026

Heavy Duty Trucking is searching for forward-looking leaders at trucking fleets as nominations for HDT’s Truck Fleet Innovators 2026. Deadline is May 15.

Read More →
Illustration with trojan horse and lock with inside of cargo container in background
Fleet Managementby News/Media ReleaseApril 23, 2026

New Trojan Driver Cargo Theft Scam Bypasses Carrier Vetting Systems

Cargo theft rings plant operatives as drivers inside legitimate, fully vetted carriers, then execute coordinated thefts that look like a traditional straight theft from the outside.

Read More →
ATA Truck Tonnage Index March 2026.
Fleet Managementby News/Media ReleaseApril 22, 2026

March Truck Tonnage Posts Strongest Annual Gain Since 2022

A modest sequential increase capped the strongest quarterly performance in years, signaling continued freight momentum in early 2026.

Read More →
Ad Loading...
Toll road.
Fleet Managementby Jack RobertsApril 22, 2026

Ohio Turnpike Targets $5.2 Million in Unpaid Tolls from Trucking Firms

More than 300 carriers across 26 states have been sent to collections as the Ohio Turnpike cracks down on toll evasion and delinquent payments.

Read More →
Illustration with ATRI logo and square blocks spelling out "research"
Fleet Managementby Deborah LockridgeApril 20, 2026

'Beyond Compliance,' Regulations, Driver Coaching on ATRI’s 2026 Research List

The American Transportation Research Institute will examine driver coaching, regulatory impacts — including the "Beyond Compliance" concept —and weather disruptions that shape trucking operations.

Read More →
Brian Antonellis, senior vice president, fleet operations, Fleet Advantage.
Fleet Managementby Jack RobertsApril 17, 2026

Fleet Advantage's Brian Antonellis on the Growing Need to Replace Old Trucks

Fleet Advantage's Brian Antonellis says it's time for fleets to get back to the fundamentals of good maintenance practices. And that includes replacing older, inefficient equipment.

Read More →
Ad Loading...
Illustration of computer and mobile screens with load matching software superimposed over photo of an oversize load
Fleet Managementby News/Media ReleaseApril 17, 2026

Truckstop.com Adding to Open Deck, Heavy Haul Offerings

Load matching for flatbed, lowbed, oversize and overweight loads can't be automated like basic van freight, but Truckstop.com is adding more high-tech tools to help.

Read More →