Factory Orders Rise 0.9 Percent In September

MARTIN CRUTSINGER

WASHINGTON (AP) — Orders to U.S. factories rebounded in September, helped by strength in autos, heavy machinery and military aircraft.

The fifth increase in six months bolstered hopes that a revival in manufacturing will help support an overall economic recovery. The worry is that if consumer spending falters in coming months, orders will slump again.

The Commerce Department said Tuesday that orders rose 0.9 percent in September, slightly better than the 0.8 percent gain economists had expected. Demand increased for both durable goods, and nondurable goods such as chemicals and energy products.

New orders for durable goods, items expected to last at least three years, advanced 1.4 percent, better than the 1 percent estimate the government made last week.

Demand for heavy machinery jumped 7.9 percent, the biggest gain in 18 months. There also was strong demand for military aircraft, which helped offset a second straight drop in orders for commercial airplanes.

Orders for nondurable goods rose 0.6 percent following a 0.9 percent increase in August, led by petroleum, chemicals and food products.