It depends on who you listen to

From Reuters (and cited at macroblog):

In a somewhat disappointing signal on the factory sector, the Commerce Department said on Thursday orders for durable goods -- pricey items meant to last three years or more -- edged up 0.3 percent in February. This was well below the 1 percent gain expected on Wall Street.

But in the Wall St. Journal:

"If you take the last three months compared to the same period a year ago, new orders are up 10% for durable goods, so we're still seeing relatively strong activity," said Daniel Meckstroth, chief economist of the Manufacturers Alliance/MAPI, a policy-research group in Arlington, Va. This included price increases that somewhat distorted the comparison, he added, but prices of machinery were up only about 2% from a year earlier.

Maybe this is the real story (same article):

David Greenlaw, an economist for Morgan Stanley, said the main disappointment in the numbers was the pullback in shipments. Shipments of manufactured durable goods dropped $3.4 billion, or 1.6%, to $53.6 billion in February, following four consecutive monthly increases. "In this environment of stronger orders," he said, "you wouldn't expect so much of a pullback in shipments."

Meanwhile, new home sales (mentioned in both articles) continue to fuel talk of a housing bubble.