TestOrders for Durable Goods Jump 3.4% in June

Orders to U.S. factories for big-ticket manufactured goods posted a sizable gain in June, while business investment rebounded after two months of declines. Orders for durable goods jumped 3.4 percent in June from May, when orders had fallen 2.1 percent, the Commerce Department reported Monday. The gain was the best result since March and largely reflected a surge in demand for commercial aircraft A category viewed as a proxy for business investment plans jumped 0.9 percent, also the best showing since March. This category had declined in April and May and had been weak for a number of months. The result may suggest growing confidence among manufacturers as consumers boost their spending. U.S. manufacturers have struggled this year from the effects of a strong dollar and a plunge in energy prices. The higher value of the dollar against foreign currencies makes U.S. goods more expensive and less competitive in major export markets, while the lower oil prices have led energy companies to scale back investment plans.