AI Data Center Boom Drives US Durable Goods Orders to Record Highs
US durable goods orders surged 8.9% year-over-year to $360 billion in June, driven by AI data center investment. Orders for computer and electronic products hit a record $31.1 billion, up 16.7% year-over-year. Machinery orders rose 14.4% to $43.7 billion, while electrical equipment orders increased 6.7% to $18.6 billion. Core capital goods jumped 12.5% to $85.1 billion. The Producer Price Index for core goods rose 5.1% year-over-year, with demand from data center construction contributing to price increases. Data from the Census Bureau shows the three-month average spiked 1.4% month-over-month and 6.9% year-over-year.
Key facts
- Total durable goods orders rose 0.3% month-over-month and 8.9% year-over-year to $360 billion in June.
- Computer and electronic product orders spiked 3.1% month-over-month and 16.7% year-over-year to a record $31.1 billion.
- Electrical equipment orders increased 0.9% month-over-month and 6.7% year-over-year to $18.6 billion.
- Machinery orders were unchanged month-over-month but spiked 14.4% year-over-year to $43.7 billion.
- Fabricated metal products dipped month-over-month to $45.2 billion but rose 10.6% year-over-year.
- Core capital goods orders jumped 0.8% month-over-month and 12.5% year-over-year to $85.1 billion.
- The Producer Price Index for core goods rose 0.2% month-over-month and 5.1% year-over-year.
- Data center investment demand is driving up prices of affected products.
Entities
Institutions
- Census Bureau
- Wolf Street
Locations
- United States