A preliminary report on US durable goods orders placed during October will be released at 8:30 a.m. ET.
Economists forecast that orders for things built to last rose 1.7% during the month, according to Bloomberg. Excluding transportation equipment, so-called core durable goods orders are expected at 0.2%.
Capital goods orders for nondefense items excluding aircraft — a gauge of business spending — is expected to rise 0.3%. This is a closely watched metric in the report because it provides clues about corporate America’s spending plans.
Business spending has contracted every quarter since the final three months of 2015, partly because of the weakness in oil prices and energy-related sectors.
“Today’s durable goods report covers the month of October, and we are more interested in the possible shift in order flow that could result from a post-US Election improvement in business sentiment,” said Joseph LaVorgna, the chief US economist at Deutsche Bank, in a note. “Hence, in our view, next month’s durable goods data are of greater significance.”
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