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U.S. durable goods orders rise 0.6 percent in April
POSTED: 9:28 a.m. EDT, May 25,2007

The Commerce Department reported on Thursday durable goods orders to U.S. factories rose by 0.6 percent in April following a 5 percent jump in the previous month.

This was the fifth gain in demand for durable goods -- items expected to last at least three years -- in the last six months.

The slowdown in durable goods orders came as demand for transportation products, which accounts for more than a quarter of total durable goods orders, fell by 1.3 percent in April.

Demand for transportation products surged by 13.6 percent in March.

The report showed that orders for commercial aircraft dropped 10.7 percent and demand for motor vehicles fell by 1.9 percent in April.

Excluding volatile transportation products, durable goods orders in April would have been up 1.5 percent, the same pace as in March.

Meanwhile, orders for primary metals such as steel increased by 4.3 percent in April and orders for electronic equipment and appliances were up 3.8 percent.

Demand for computers, however, fell by 7.8 percent and communications equipment orders dropped by 5 percent in April.

The report also showed that demand for non-defense capital goods excluding aircraft, a closely watched guide to business investment plans, rose by 1.2 percent in April following an increase of 4.4 percent in March.

From: xinhua
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