U.S. June Durable Goods Orders Show 0.7% Gain

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July 25 (Bloomberg) -- Drew Matus, deputy chief U.S. Economist at UBS, and Bloomberg’s Olivia Sterns examine a 0.7 percent gain in U.S. durable goods orders for June. They speak on “In the Loop.”

Out and they look slightly better than estimated, up by 7/10 of 1%. olivia sterns has more.

We were expecting a rise in durable goods orders, and they have come in a little bit ahead of expectations.

If you strip out transportation, they have risen by eight -- 8/10 of 1%. durable goods orders fell in may by about 1%. that was because of a sharp decline in military spending, a big fall in orders for military equipment.

Good news to round out the second quarter, a particularly important quarter for durable goods.

A lot of economists will be looking at this to gauge the overall health of the markets.

Back to you.

What is your take on this?

We did not see it revised downward.

We were hoping for a good june number.

We got it.

If you look at the other series, like the isn -- ism, they are all looking for good quarters.

We are looking for that cap ex rebound.

When rates go up, we should expect some weakness in capex.

We think the opposite.

We think it will encourage people to make investments.

Does it make it sustainable?

We haven't invested in anything for almost five years.

One of the reasons we are seeing rents go up so dramatically is because we haven't invested in rental stock or housing stock.

Likewise on the corporate side, we haven't been investigating -- investing in new plants, new equipment.

Once we start the cycle again, it will be a prolonged cycle.

May was revised down by 1%. that was telegraphed into the numbers.

We will see what june gets revised to.

Drew matus,. rising interest rates not in the u.s. but in russia.

Have sanctions are finally taking a toll on that country's economy -- how sanctions are finally taking a toll on that country's economy.

You won't believe how new york city is spending its share of that money.

?

This text has been automatically generated. It may not be 100% accurate.

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