October Durable Orders Rise 3.3%, Midwest Manufacturing Soars

The number of orders for long-lasting goods placed with U.S. manufacturers rose in October, the Commerce Department reported Wednesday. A separate report showed that manufacturing in the heavily industrial Midwest soared to its highest point in nearly nine years.

Durable goods orders rose 3.3%, the largest increase since July 2002. The rise pushed orders to $184.5 billion in total value.

The jump follows a 2.1% increase in September, Commerce said.

Excluding transportation goods, orders rose 2.4%, the sixth straight increase for that segment of the report, Commerce reported.

Bloomberg reported that the increase was more than four times the one expected by a survey of analysts, which had produced a composite estimate of $1.77.9 billion, a 0.7% increase.

Analysts said the increase represents a move by companies to replenish inventories depleted by a third-quarter surge in consumer spending.

The factory index as compiled by the Institute of for Supply Management in Chicago rose to 64.1 in November, it’s highest since February 1995.

The index was at 55 in October. Figures over 50 in ISM indexes indicate growth in the manufacturing sector. It was the seventh straight month of increase for production by the region’s factories.