US capital good orders hit an all-time high, weekly jobless claim rose

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US capital good orders hit an all-time high, weekly jobless claim rose

On Thursday, the 25th of April 2019, there had been a flurry of upbeat data for US economy, which substantially brightened the outlook for manufacturing alongside its economy and broadly offset concerns of slowing economy.

According to data revealed from the US Commerce Department, new orders for US-made durable goods had hit its highest level in eight months in March, breaching their peak on record, while weekly jobless claims fell, though still indicating towards a squeezed labor market.

Data revealed on Thursday (April 25th) had also displayed that the number of American citizens filing unemployment benefit claims for the first time in the life, had been the largest in 19 months, pointing towards a US economy which had still been running out of horsepower.

Meanwhile, according to multiple pundits and analysts, the report had broadly underlined an exclusive strength of US economy, which should celebrate a record 10-year growth by July this year. Citing optimism over US-durable goods orders feathering its manufacturing, a chief economist at MUFG in New York, Chris Rupkey said, “Company CEOs may have feared recession in surveys taken at the start of the year, but those concerns have faded as businesses bring on new equipment to meet the demand for the goods and services they provide their customers”.

Citing statistics from US Commerce Department, the new orders for non-defense capital goods excluding aircraft, a closely observed indicator for business spending plans, had surged by 1.3 percent to an all-time high of $70 billion, boosted by a surprise jump in demand for electronic products alongside computers, a data which seemed to be closely coincided with a Qualcomm-Apple patent dispute settlement earlier this month.