US durable goods orders for July 2026 showed a notable increase of 1.1%, exceeding the market expectation of a 0.5% rise. This data, released by the Commerce Department, reflects a positive trend in the manufacturing sector, although some areas showed weaker performance.

Excluding transportation, durable goods orders rose by 0.4%, which was below the anticipated 0.8%. Meanwhile, orders excluding defense surged by 1.3%, significantly higher than the previous figure of 0.3%. Non-defense capital goods orders, excluding aircraft, increased by 0.2%, falling short of the expected 0.9% growth.

Despite the mixed results, the US dollar experienced strengthening, likely influenced by a concurrently released PCE report that indicated slightly hotter inflation. The euro, on the other hand, declined by 21 pips, trading at 1.1653 against the dollar.

This report highlights the ongoing fluctuations in the US economy, particularly in the manufacturing sector, as it navigates through various challenges and market expectations. Investors and analysts will be closely monitoring these trends as they assess the overall economic outlook.