US Durable Goods Orders See Steepest Drop in Nearly 4 Years in January, Led by Plunge in Aircraft Bookings

Orders for long-lasting manufactured goods in the US fell by the most in nearly 4 years in January, largely due to a plunge in bookings for commercial aircraft.

The drop adds to other weak economic data suggesting the economy lost momentum entering 2023, though economists don't foresee a recession.

Durable goods orders declined 6.1% in January, the steepest fall since April 2020 during the initial COVID-19 outbreak.

Transportation orders drove the decline, plummeting 16.2%, while orders outside transportation slipped a more modest 0.3%.

There are signs manufacturing is regaining its footing after easing production in 2022, but a full recovery still appears a long way off.