Spending on business equipment fell in the month of September amid an overall decline in manufacturing activity, signaling a lack in business confidence across the economy.
Core capital goods orders—non-defense capital goods orders excluding aircraft—fell by 0.7 percent in September, to $74.77 billion from $75.33 billion in the previous month, according to an Oct. 27 press release from the U.S. Census Bureau. Core capital goods orders, a closely watched proxy for business-spending plans, measures cost of orders received by manufacturers of capital goods, which refer to goods planned to last for three or more years.
The market was estimating a 0.5 percent gain for the month, according to FX Street. In August, core capital goods orders had grown by 0.8 percent, which followed a 0.7 percent increase in July….