Awwal 23, 1432 / April 27, 2011, SPA -- Orders for U.S. durable goods rose solidly in March, and orders the previous month were revised upward, signaling strength in the manufacturing sector, the government reported Wednesday. The Commerce Department said orders for durable goods-expensive manufacturing items expected to last at least three years-rose 2.5 percent last month after an upwardly revised 0.7 percent gain in February, which was previously reported as a 0.6 percent decline. The strength in March durable-goods orders was led by motor vehicles, transportation equipment, and aircraft. Excluding transportation, durable-goods orders rose 1.3 percent last month, following a revised 0.6 percent gain in February. In other categories, orders for primary metals rose 3.9 percent, and orders for machinery jumped 4.2 percent. However, orders for communications equipment, computers, and electronic products fell. Orders for non-defense capital goods excluding aircraft -a closely watched gauge of business spending- rose a strong 3.7 percent in March after an upwardly revised 0.5 percent gain the previous month. Durable-goods orders are a leading indicator of manufacturing, and Wednesday's report indicated strength in the sector, even though the U.S. economy lost some momentum in the first quarter. Government data on Thursday is expected to show economic growth slowed to an annual rate of 2.0 percent or less in the first three months of this year, limited by weak consumer spending and a bigger trade deficit. The economy grew at a 3.1 percent annual rate in the fourth-quarter of 2010.
