Durable Goods Flies Past Estimates, If You Count Planes

On an ex-transportation basis the report shows a much different read as it came in at -0.4%.

We would make a reminder here that the durable goods report each month can be one of the most volatile readings out there because of its many moving parts. This is on the larger-ticket items sold that are expected to last three years and longer.

On an ex-defense basis the reading was +5.7%. We also saw June revised higher to +1.6% from +1.3% but ex-transportation that was revised to -2.2% from -1.1%.

Today was great on the surface but the report is masked due to aircraft strength. Without that strength the reading was in the red. Again, there are so many large-ticket moving parts here that many discount the impact of each individual report.

JON C. OGG