New orders for U.S. factory goods rose for a third straight month in April, pointing to strength in manufacturing and the broader economy.
The Commerce Department said on Tuesday new orders for manufactured goods increased 0.7 per cent. March’s orders were revised to show a 1.5 per cent increase instead of the previously reported 0.9 per cent rise.
Economists polled by Reuters had forecast new orders received by factories gaining 0.5 per cent.
Manufacturing is growing after moderating a bit during a very cold winter. It is likely to continue expanding, with a survey on Monday showing new orders at the nation’s factories at their highest level in five months in May.
Orders excluding the volatile transportation category increased 0.5 per cent as bookings for primary metals, electrical equipment, appliances and components and capital goods rose.
The department also said orders for durable goods, manufactured products expected to last three years and more, rose 0.6 per cent instead of the 0.8 per cent gain reported last month.
Durable goods orders excluding transportation increased 0.3 per cent instead of the previously reported 0.1 per cent gain.
Orders for non-defense capital goods excluding aircraft – seen as a measure of business confidence and spending plans – fell 1.2 per cent as reported last month.
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