US Commerce Department data showed core capital goods orders excluding aircraft
and defense—a proxy for business equipment investment—rose 1.6% MoM in August;
July was revised to +0.6%. Total durable goods orders (3‑year+ use), including
aircraft and defense, were roughly flat. Boeing’s August order intake declined
month-on-month. Orders rose in primary metals, machinery and computers &
electrical equipment, while transport equipment fell on weaker auto and
commercial aircraft bookings. YTD capex remains firm, supported by AI-related
spending; core business investment was a sizable contributor to GDP growth in
1H. The Atlanta Fed GDPNow model had projected business equipment investment
would add roughly 1 percentage point to Q3 GDP. Together with healthy consumer
spending, the data supports the case for another strong US growth quarter.
