Quantcast
Get breaking news alerts via email

Click here to manage your alerts
In this July 16, 2014 photo, welders fabricate anchor bolts for roads and bridges at the custom manufacturer Fox Company Inc. in Philadelphia. The Commerce Department reports on U.S. factory orders in June on Tuesday, Aug. 5, 2014. (AP Photo/Matt Rourke)
U.S. factory orders rise 1.1 percent in June
First Published Aug 05 2014 10:03 am • Last Updated Aug 05 2014 10:47 am

Washington • Orders to U.S. factories increased in June, led by demand for aircraft, industrial machinery and computers and electronics.

Orders rose a seasonally adjusted 1.1 percent compared to the previous month, the Commerce Department reported Tuesday. Factory orders had fallen 0.6 percent in May after three straight months of gains.

Join the Discussion
Post a Comment

An 8.4 percent jump in demand for commercial aircraft fueled the latest gains. But there were additional increases outside this volatile category that point to businesses investing with the expectation of economic growth.

Orders for machinery rose 2.9 percent. Iron and steel mills had a 1.7 percent increase in demand, while orders for computers and electronic products were up 2.9 percent.

Excluding military hardware, factory orders rose 1 percent in June from May.

Over the past year, factory orders were up 2.5 percent.

The improved outlook for business spending has helped drive growth. The economy grew at an annual rate of 4 percent in the April-June quarter, after slipping 2.1 percent during the first three months of the year when brutal winter weather closed some assembly lines.

Manufacturing has rebounded as the weather improved.

The Institute for Supply Management, a trade group of purchasing managers, reported Friday that its manufacturing index rose to 57.1, up from 55.3 in June. A reading above 50 signals that manufacturing is growing.

"The growth in manufacturing activity and capital spending is likely to continue next month, as indicated by a moderate increase in ISM new orders level in July," said Maninder Sibia, economist at Contingent Macro Advisors.


story continues below
story continues below

The increased demand has fueled hiring. The Labor Department said Friday that employers added more than 200,000 jobs in July for the sixth straight month. Factories accounted for 28,000 new jobs in July. Over the past year, manufacturers have added 178,000 jobs, best 12-month stretch of hiring since November 2012.



Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Access your e-Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.