The U.S. Census Bureau reported that new orders for manufactured goods declined (-4.8%) in June to $611.7 billion, following a sharp (+8.3%) increase in May. The drop was largely driven by a steep (-22.4%) decrease in transportation equipment orders, which fell to $113.1 billion as nondefense aircraft and parts dropped (-51.8%). Excluding transportation, orders edged up slightly (+0.4%). Durable goods orders declined (-9.4%) to $311.8 billion, while nondurable goods orders rose (+0.5%) to $299.9 billion. Shipments increased for the second month in a row, up (+0.5%) to $602.4 billion, with both durable and nondurable goods contributing equally (+0.5%). Unfilled orders rose (+1.0%) to $1.469 trillion, marking increases in 11 of the past 12 months. Inventories ticked up (+0.2%) to $945.6 billion, the eighth gain in nine months. Core capital goods orders—nondefense capital goods excluding aircraft—declined (-0.8%) in June, while core capital goods shipments rose (+0.3%).

The Commerce Department reported that the goods and services deficit was $60.2 billion in June, a decrease of $11.5 billion from an upwardly revised $71.7 billion in May. Imports decreased (-3.7%) to $337.5 billion, primarily due to decreases in consumer goods and industrial supplies and materials. Exports decreased (-0.5%) to $277.3 billion, primarily due to a decrease in industrial supplies and materials, which was partly offset by increases in capital goods and consumer goods. The goods deficit decreased $11.4 billion to $85.9 billion, while the services surplus rose $0.1 billion to $25.7 billion. Year-to-date, the goods and services deficit has increased by $161.5 billion, or 38.3%, from the same period in 2024. Exports have increased by $82.2 billion, or 5.2%, and imports have increased by $243.7 billion, or 12.1%. The trade deficit with China decreased by $4.6 billion to $9.4 billion in June, as exports increased $3.1 billion and imports decreased $1.4 billion.

The Federal Reserve’s G.19 report for June showed borrowing continued to slow as interest rates stayed high. Total consumer credit increased at a seasonally adjusted annual rate of 1.8%, a slight pickup from May’s 1.2% pace. Revolving credit—largely credit card balances—fell by 1.0%, following a steeper 3.5% decline in May, a sign that consumers are still tightening up on non-essential spending. Nonrevolving credit, which includes student and auto loans, rose at a 2.7% rate, slightly below May’s 2.9% gain. Overall, the outstanding consumer credit balance rose to $5.055 trillion, with $1.297 trillion in revolving credit and $3.758 trillion in nonrevolving balances. The slowdown in revolving credit growth comes amid persistently high credit card interest rates, with the average APR on accounts remaining elevated at 22.25%. The trend suggests households are feeling the weight of higher borrowing costs.