2017 Economic Calendar
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Factory Orders  
Released On 1/6/2017 10:00:00 AM For Nov, 2016
PriorPrior RevisedConsensusConsensus RangeActual
Factory Orders - M/M change2.7 %2.8 %-2.5 %-3.6 % to -1.9 %-2.4 %

Factory orders fell 2.4 percent in November but were actually up 0.1 percent when excluding transportation equipment and a 94 percent monthly downswing in commercial aircraft orders. And an important strength in the report is a 0.9 percent rise in orders for core capital goods (nondefense ex-aircraft), a second straight significant gain that points to improvement in business investment.

Factory inventories rose 0.2 percent in the month which, though keeping the sector's inventory-to-shipment ratio unchanged at 1.34, will add to the increase in next Friday's business inventories report which will include sharp November builds from the wholesale and retail sectors.

Factory shipments edged 0.1 percent lower in November with shipments of core capital goods, in another positive for business investment, up 0.2 percent. Unfilled factory orders, aside from an unusual 0.8 percent rise in October, have been very soft with November down 0.1 percent.

Monthly swings in aircraft aside, the factory sector appears to have ticked higher going into year-end, underscored by this morning's surprising 17,000 rise in factory payrolls. Among other details in today's report, the split between the report's two main components shows a 0.2 percent dip for nondurable goods and a 4.5 percent decline for durable orders (1 tenth lower than last week's advance report on this component).

Consensus Outlook
Factory orders for October are expected to fall 2.5 percent in line with a sharp decline in the month's advance durable goods orders that is expected to be offset by nondurable goods. Much of the weakness in the durables report was tied to monthly swings for commercial aircraft orders which masked strength in defense aircraft and more importantly for core capital goods orders (nondefense ex-aircraft).

Factory orders represent the dollar level of new orders for both durable and nondurable goods. This report gives more complete information than the advance durable goods report which is released one or two weeks earlier in the month.  Why Investors Care
Even though monthly shipment data fluctuate less than new orders, both series show underlying trends more clearly by looking at year-over-year changes. In 2005 for example,new orders rose more rapidly than shipments due to large gains in aircraft orders. Aircraft orders have a long lead to shipment.
Data Source: Haver Analytics

2017 Release Schedule
Released On: 1/62/33/64/45/46/57/58/39/510/511/312/4
Release For: NovDecJanFebMarAprMayJunJulAugSepOct

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