Factory orders in America rose by a slightly better than expected 2.1% in May, according to the Commerce Department. Both Bloomberg and Dow Jones had estimates for a gain of 2.0%. If you back out transportation, the gains were 0.6%, and excluding defense the orders were also up 2%.
The 2.1% gain in May comes to $9.9 billion, to a seasonally adjusted figure of $485 billion. An increase in aircraft orders helped to boost the number again. The durable goods orders were up 3.7%.
Consumer goods are less robust as the May orders only rose 0.5%, but that is after contracting in April and in March. An issue to be watched by economists is that inventories rose again, making a sixth month of building up there.
We would point out that more recent data was released by the ISM on Monday showing a resumption of manufacturing growth in June with a lag in employment. That is more current data than Tuesday’s May factory orders numbers.
The S&P 500 is still up almost six points and the DJIA is up 46 points after the news this morning.
It’s Your Money, Your Future—Own It (sponsor)
Retirement can be daunting, but it doesn’t need to be.
Imagine having an expert in your corner to help you with your financial goals. Someone to help you determine if you’re ahead, behind, or right on track. With SmartAsset, that’s not just a dream—it’s reality. This free tool connects you with pre-screened financial advisors who work in your best interests. It’s quick, it’s easy, so take the leap today and start planning smarter!
Don’t waste another minute; get started right here and help your retirement dreams become a retirement reality.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.