Tag Archives: autos

Durable Goods Better than Headline Suggests

Durable goods orders dropped at an 18.2% pace in August, reversing part but not all of the outsize gains we saw in July. A sharp reversal of the surge in aircraft orders that Boeing saw in the month of July was the reason for the decline. Motor vehicle orders were also down in August

Autos Drive Gains in IP

Industrial production rose 0.4% in July, supported by outsize gains in vehicle production.  Many plants were running in July when retooling typically occurs to either catch up on losses from interruptions during the winter months or ramp up for an expanded number of new model introductions. Unusually harsh winter weather also accelerated the pace at [...]

Retail Sales Better then Headline Suggests

Retail sales rose a tepid 0.2% in June, but were revised up for the month of May. That is the second month in a row that sales were revised up; it means we are behind the curve on a much-needed catch-up in consumer spending following the winter doldrums. Vehicle sales tumbled,

Employment Explodes for July 4th Holiday

Payroll employment jumped by 288,000 in the month of June, with upward revisions to both May and April. April now shows a rise of more than 300,000 as the economy continued to snap back from the winter doldrums.

Prices Rise on Higher Airfares, Gasoline Prices

The Consumer Price Index (CPI) rose 0.3% in April, driven by outsize gains in gasoline prices (other energy prices dropped during the month), airfares and, to a lesser extent, new and used cars. Food prices also picked up as the effects of the drought out West and late start to the planting season in the [...]

Retail Sales Disappoint in April

Retail sales rose a tepid 0.1% in April after being revised up slightly for the month of March. The gains were far short of expectations, given anecdotal reports that consumers were returning to the stores after a wretched winter. On the plus side, spending on apparel and at general merchandise and department stores edged higher [...]

Consumer Pulse Still Beating

Retail sales rose 1.1% in March, following upward revisions to February, as consumers came out of hibernation and began to spend again. Vehicle sales were particularly robust, as consumers returned to dealer showrooms and tapped the pent-up demand built during the worst months of winter. We also saw strong gains in building materials and garden [...]

U.S. Trade Deteriorates

The trade deficit widened more than expected in February, as imports rose and exports fell. Imports of vehicles were particularly strong; that could be a problem for domestic vehicle producers going forward even as sales come back, which they did strongly in March. Japanese and Korean producers, in particular, now have unusually large pricing advantages [...]

Durable Goods Rise Ex-Transportation

Durable goods orders fell 1% in January from December, but all of that weakness was concentrated in the volatile transportation sector. Durable goods orders ex-transportation rose 1.1% in January after being revised down in December. Moreover, most of the drop in transportation orders was concentrated in aircraft orders which have very long lead times. Vehicle [...]

Weather Takes a Toll on Production

Industrial production fell 0.3% in January, with losses in manufacturing and mining activity more than offsetting a surge in utilities. Subzero temperatures and unusually cold weather in what are typically more mild climates prompted many people to turn up their thermostats and hibernate in their homes across the country. At the same time, harsh weather [...]