Durable Goods Orders
July's Durable Goods Orders will start the week’s calendar early tomorrow morning. This Commerce Department report is an important measurement of manufacturing sector strength. It tracks orders at U.S. factories for big-ticket items, or products that are expected to last three or more years such as appliances, electronics and airplanes. Analysts are expecting to see a rise of 1.2% in new orders, pointing towards manufacturing sector strength. This data is known to be quite volatile from month to month, so an increase of this size doesn't raise too much concern about the economy. However, a much larger increase will be bad news for the bond market and mortgage rates. A secondary reading that excludes more volatile transportation-related orders is expected to rise 0.1%. The softer the reading, the better the news it is for the bond and mortgage markets.