Factories south of the border were humming in October, producing more goods than have been seen in a year and a half. providing further evidence that the manufacturing sector in the U.S. is gradually recovering after a prolonged downturn.
The U.S. Commerce Department said on Tuesday new orders for manufactured goods rose 2.7% after an upwardly revised 0.6% gain in September. That was the largest increase since June 2015 and marked four straight months of gains.
Economists had forecast factory orders boosted 2.6% in October after a 0.3% gain in September. Unfilled orders at factories increased 0.7%, the biggest rise since July 2014, ending four consecutive months of decline.
The department's report added to factory surveys in suggesting an upturn in manufacturing, which accounts for about 12% of the U.S. economy. Despite signs of stability, progress is likely to be limited by renewed dollar strength in the wake of Donald Trump's victory in the Nov. 8 U.S. presidential election.
