Factory orders jump 1.1 percent in November

WASHINGTON (AP) — Orders to U.S. factories posted a surprisingly big gain in November, reflecting strong demand in a number of industries from steel and industrial machinery to computers and chemicals.

The advance was double what had been expected and provided further evidence that manufacturers are beginning to pull out of their steep slump.

The Commerce Department said Tuesday that orders rose by 1.1 percent in November, much better than the 0.5 percent increase economists had forecast. The increases were widespread outside of autos and aircraft, which posted declines.

The report was the latest evidence of a widespread rebound in manufacturing as industries from China to Europe are beginning to flash recovery signs. The Institute of Supply Management had reported Monday that its key gauge of U.S. factory activity showed manufacturing was expanding in December at the fastest pace in more than three years.

The Commerce report on orders showed that demand for durable goods, items expected to last at least three years, rose by 0.2 percent in November, unchanged from a preliminary estimate the government made two weeks ago. Durable goods orders had fallen by 0.7 percent in October.