Durable Goods Spending Still Going Strong

(Neutral) Real consumer durable goods spending in June was $1,709 billion real dollars (seasonally adjusted at an annual rate). Compared with one year ago, durable goods spending increased 5.9 percent, which was the slowest rate of growth since August 2016. However, the month-over month rate of growth has been above average since August 2016. The annual rate of growth of 6.5 percent was unchanged from last month. This was the fastest rate of growth since March 2016, but it does appear that the annual rate of growth has hit its peak. 

Below are key spending categories that lead the most important manufacturing new orders and production indices.

Accelerating Growth: air transportation services, durable goods, pleasure boats, other non-durable goods, total consumer

Decelerating Growth: appliances, clothing/footwear, electronics, food/beverage, medical care, motor vehicles/parts