US core capital goods orders rise in June, AI investment drives growth
New orders for U.S.-manufactured core capital goods increased strongly in June, with non‑defense orders excluding aircraft rising 0.9% after an upward‑revised 1.9% gain in May. Shipments of core capital goods surged 1.9% in June, marking the largest quarterly gain in four‑and‑a‑half years. Year‑on‑year, core capital goods orders were up 9.3% in June. The growth is attributed to heightened spending on artificial‑intelligence‑related equipment, especially computers, electronic products and related components. Economists expect the second‑quarter GDP to expand at an annualised rate of about 2.1%, indicating a solid pace of economic activity. The figures were released by the Commerce Department’s Census Bureau ahead of the advance estimate of Q2 GDP.
Entities: Artificial intelligence · Artificial intelligence industry · U.S. Census Bureau · U.S. Commerce Department Census Bureau · U.S. Department of Commerce · United States · core capital goods
Claims
What the coverage asserts, and how well corroborated each claim is across sources.
- [● 3 SOURCES] The data were released by the Commerce Department’s Census Bureau. (Official release)
- [○ 1 SOURCE] AI‑related investment is driving demand for information‑processing equipment and related products. (Analysis in news report)
- [● 3 SOURCES] New orders for US core capital goods rose 0.9% in June 2024. (Commerce Department Census Bureau data)
- [○ 1 SOURCE] Core capital goods orders were up 9.3% year‑on‑year in June 2024. (Commerce Department Census Bureau data)
- [● 3 SOURCES] Shipments of core capital goods increased 1.9% in June 2024. (Commerce Department Census Bureau data)
- [● 3 SOURCES] Non‑defense core capital goods orders exclude aircraft. (Definition in report)
- [● 2 SOURCES] Economists expect US second‑quarter GDP to grow at a 2.1% annualised rate. (Reuters economists survey)
- [○ 1 SOURCE] June shipments of core capital goods represented the largest gain in four‑and‑a‑half years. (News analysis)