U.S. Core Capital Goods Orders Rise 0.9% in June, Beat Expectations; Shipments Hit 5-Year High

According to the U.S. Commerce Department on July 27, core capital goods orders, a key indicator of business equipment investment, increased 0.9% in June, surpassing the market expectation of 0.8%. The May reading was also revised upward to 1.9% from the previously reported 1.4%.

Core capital goods shipments surged 1.9% in June, marking the largest monthly increase since late 2021 and up sharply from 0.2% in May. Strong demand for AI-related equipment and defense orders, driven by Middle East tensions, are supporting the enterprise investment rebound.