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.
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
