US factory orders rebound in November

Published Fri, Jan 5, 2024 · 11:37 PM

Manufacturing, which accounts for 10.3 per cent of the economy, is being constrained by high interest rates. PHOTO: REUTERS

NEW orders for US-made goods increased more than expected in November amid a surge in demand for civilian aircraft, government data showed on Friday (Jan 5).

Factory orders rose 2.6 per cent after declining by 3.4 per cent in October, the Commerce Department’s Census Bureau said. Economists polled by Reuters had forecast orders would rebound by 2.1 per cent. Orders climbed 0.7 per cent on a year-on-year basis in November.

Manufacturing, which accounts for 10.3 per cent of the economy, is being constrained by high interest rates.

Civilian aircraft orders soared 80.1 per cent after declining by 43.9 per cent in October, while orders for motor vehicles, parts and trailers were unchanged. There were also increases in orders for primary metals, machinery, computers and electronic products as well as electrical equipment, appliances and components.

Shipments of manufactured goods rose 0.5 per cent. Manufactured goods inventories edged up 0.1 per cent, while unfilled orders jumped 1.3 per cent, reflecting the surge in aircraft orders.

The government also reported that orders for non-defence capital goods excluding aircraft, which are seen as a measure of business spending plans on equipment, increased 0.8 per cent as estimated last month.

Shipments of these so-called core capital goods fell 0.2 per cent instead of dipping 0.1 per cent as previously reported. Business spending on equipment contracted in the third quarter. REUTERS

Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.

Share with us your feedback on BT's products and services

Feedback