Orders for long-lasting U.S. manufactured goods surged in April on strong demand for transportation equipment and a range of other products, but continued weakness in business spending plans suggested the manufacturing rout was far from over.
The Commerce Department said on Thursday orders for durable goods, items ranging from toasters to aircraft meant to last three years or more, jumped 3.4 percent last month after an upwardly revised 1.9 percent increase in March.
Durable goods orders were previously reported to have risen 1.3 percent in March.
Non-defense capital goods orders excluding aircraft, a closely watched proxy for business spending plans, fell 0.8 percent after an upwardly revised 0.1 percent drop the prior month. These so-called core capital goods orders have now declined for three consecutive months. They were previously reported to have declined 0.8 percent in March.