American workers at a manufacturing plant for long-lasting durable goods. (PHOTO: REUTERS)
The Commerce Department reported on Thursday durable goods orders were up 4.9% in January from the prior month, beating the estimate for a rise of 2.5%. Excluding the volatile transportation component and durable goods orders increased 1.8%, far outpacing the estimate for a 0.2% gain. Excluding defense, new orders increased 4.5%.
Durable goods, which are products ranging from items meant to last three years or more, bounced back to $237.5 billion after two consecutive monthly decreases, including a 4.6% decrease in December.
The increase in durable goods orders, which was the largest since March, was fueled in large part by a 54.2% surge in civilian aircraft orders. The sector, which accounts for 12% of the U.S. economy, remains
