U.S. Core Capital Goods Orders Surge 1.6% in May, Exceed Forecasts as AI Investment Strengthens

The U.S. Commerce Department reported on June 25 that core capital goods orders surged 1.6% in May, significantly outpacing the market forecast of 0.6% growth and reversing April's revised 0.7% decline. The data signals resilient enterprise equipment spending and reflects strong AI-driven investment momentum in data centers and computing infrastructure. Core capital goods shipments also increased 0.3% in May, continuing April's 0.5% growth, suggesting sustained corporate capital expenditure contributions to economic activity.

Analysts note that rising memory chip prices and robust demand for AI-related equipment are key drivers of enterprise investment expansion beyond the technology sector, with machinery, metals, and electrical equipment orders also showing growth.