US Factory Orders Gain For Third Straight Month

WASHINGTON,, (APP - UrduPoint / Pakistan Point News - 03rd Nov, 2016 ) - New orders for US manufactured goods rose in September for the third straight month, the Commerce Department reported Thursday, in a fresh sign of strength in the country's factory sector.

New orders rose 0.3 percent from August to $455.5 billion, slower than the pace of the previous two months but still a solid gain after the downturn of the first half of the year. The increase was broad-based, with the rise in orders even stronger when the huge defense and transport sectors are stripped out of the total.

There was another jump in orders for mining and oilfield machinery, suggesting the sector is beginning to come alive again after a sharp recession due to the collapse in crude prices.

Orders rose 12.6 percent in September from the previous month, after increases of 5.7 percent in August and a stunning 48.4 percent surge in July.

Auto orders gained 2.6 percent and civilian aircraft orders rose 12.1 percent, while there was a sharp 47.6 percent fall in defense aircraft orders. Still, so far this year US factor orders are 2.3 percent lower than in January-September 2015, showing the impact of the global economic slowdown, the sharp cuts in investments by oil companies, and the strong Dollar's drag on exports.