Release Explanation: Determines the worth of new purchase orders placed with domestic manufacturers for durable and non-durable goods.
Trade Desk Thoughts: Industrial orders tumbled in December for a fifth consecutive month. The market anticipated industrial orders would fall 4.9% in December, instead of the released number that saw orders decline by a record 5.2%. The previously released number, for the month of November, was also revised lower, to -5.4%. Excluding ships, railway & aerospace equipment, industrial new orders decreased by 4.7% in the Euro-area. Industrial new orders are now at a 6-year low.
From one year earlier, industrial orders in the Euro-area declined by a huge 22.3%. There was a big decrease in transport equipment, which fell by 35.1%, and in the metals industry, which declined by 26.3% from one year earlier. Textiles & textile products fell by 6.5% from December 2007, while electrical and electronic equipment lost 13.8% over the same period.
Forex Technical Reaction: The euro advanced 100 pips in the overnight session, and is now trading near the neutral pivot point (1.2795). Against the pound, the euro rose today 40 pips