U.S. durable-goods orders sink in November by most in six months

The numbers: Orders for durable goods sank 2% in November, the government said Monday. This is the biggest decline since May.

Economists had expected a strong 1% rebound in durable orders in November as a result of the end of the General Motors GM, -0.03%  strike. But orders were dragged down by weaker demand for from the defense sector.

Orders in October were revised lower to a 0.2% gain from the prior estimate of an 0.5% increase.

What happened: Orders for defense aircraft and parts plummeted 72.7% in November. Stripping out defense goods, orders were up 0.8%.

Orders for total transportation equipment fell 5.9% in November. Orders for cars and parts rose 1.9%. Excluding transportation, orders were flat.

Core capital goods was a bright spot, posting the second-straight monthly gain, although it was a small 0.1% increase.

Orders for primary metals fell 0.3%. Orders for computers rose 0.2% in November.

Big picture: The outlook for manufacturing remains grim as business sentiment is sluggish, the outlook for profits is soft and global trade flows shrink given ongoing uncertainty.