U.S. factory orders climbed 0.5 percent in October, following a revised 0.3 percent increase in September, the U.S. Commerce Department said Wednesday.

The October jump, unexpected by Wall Street economists who predicted orders would be unchanged, was helped by a climb in orders at oil refineries and chemical plants tied to rising petroleum and other energy prices, the department said.

Non-durable-goods orders, including at oil refineries and chemical plants, rose 1.3 percent, offsetting a 0.2 percent durable-goods demand drop, the department said.

Durable goods are designed to last at least three years.

But a barometer of capital spending by businesses dropped. Non-defense capital goods orders excluding aircraft fell 2 percent after increasing 1.4 percent in September, the department said.

Transportation orders increased 0.5 percent after falling 6.9 percent in September. Defense capital-goods orders rose 16 percent.

Consumer-goods orders rose 0.9 percent, with consumer durable-goods orders flat but consumer non-durables up 1.2 percent.  // Copyright 2007 by United Press International



Publication date: 06 December 2007   

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