U.S. Factory Orders Rose at Faster Pace in May
By Xavier Fontdegloria
Growth in U.S. manufacturing orders gained momentum in May,
reflecting that demand for goods from consumers and businesses
remained strong even as economic growth slows.
New orders for manufactured goods rose 1.6% in May compared with
the previous month, up from the revised 0.7% rise registered in
April, the Commerce Department said Tuesday. Factory orders have
increased for eight consecutive months.
Economists polled by The Wall Street Journal expected factory
orders to rise by 0.6% on month.
New orders for manufactured durable goods--those meant to last
at least three years--increased 0.8% in May after rising 0.4% in
The U.S. factory sector has been resilient due to strong demand
for goods and sound business investment, but the current growth
slowdown and consumers' shift in spending patterns toward services
pose risks to the outlook. U.S. manufacturing output fell in May
for the first time this year, and surveys to goods producers in
June pointed to a decline in new orders, a sign of weakening demand
Write to Xavier Fontdegloria at firstname.lastname@example.org
(END) Dow Jones Newswires
July 05, 2022 10:30 ET (14:30 GMT)
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