http://www.businessweek.com/news/2010-05-26/durables-orders-in-u-s-increased-more-than-forecast-update2-.htmlOrders for durable goods rose in April for the fourth time in five months, pointing to strength in U.S. manufacturing at the start of the second quarter. The 2.9 percent increase in bookings for goods meant to last at least three years was the biggest in three months and followed little change in March, figures from the Commerce Department showed today in Washington.
Rising exports and lean inventories are prompting companies to place more orders with factories, keeping factories at the forefront of the recovery from the worst recession since the 1930s. Corporate and consumer demand that stokes more job growth may help the expansion weather the European debt crisis.Regional reports have shown manufacturing continuing to expand this month. The Federal Reserve Bank of Philadelphia’s general economic index rose in May to a five-month high, while a New York Fed gauge showed manufacturing in the state expanded for a 10th straight month. Meantime, U.S. companies continue to invest. Ford Motor Co., working to make a quarter of its vehicles run at least partly on electricity, said May 24 it plans to invest $135 million and add 220 jobs at three Michigan facilities to help it introduce five such models by 2012.
Rising exports also have been a boon to production. Exports rose in March to the highest level since October 2008, the Commerce Department reported May 12.
The biggest jump in consumer spending in three years and a 13 percent rise in business investment in new equipment helped the economy expand for a third straight quarter in the first three months of this year, Commerce Department data showed last month. Manufacturers make up 12 percent of the economy.