Factory-made goods move in April

Orders for factory-made goods unexpectedly rose 1.1% in April, due to a strong increase across several industries, according to data from the Department of Commerce. The welcome news followed a revised 1.5% advance in March, slightly higher than the 1.4% increase in factory orders that was first estimated. Orders for durable goods, defined as high-priced items made to last at least three years, were off 0.6% in April. Last week, the Commerce Department had estimated that durable goods fell 0.5%. The higher number of orders was fueled by a 6.2% increase in orders for petroleum-based goods, which was offset by a 7.9% drop in orders for factory goods. In other manufacturing news, the Tempe, Ariz.-based Institute for Supply Management’s May manufacturing index rose to 49.6, from 48.6, it reported yesterday Readings under 50 indicate that the manufacturing industry is contracting.