Durable Goods Orders Up 1.4% Beat Estimates

Washington, DC, July 27—-Orders for durable goods increased 1.4% in June, according to the Commerce Department, the third straight strong monthly increase.

The increase surprised economists, who were expecting a decrease of 0.9% in durable goods orders for the month.

Orders in May were revised upward to reflect an increase of 6.4%. They were previously reported as having increased by 5.5%.

Durable orders in June represented the strongest monthly increase since July 2002.

Business spending — orders for non-defense capital goods excluding aircraft — increased 3.8% in June. Orders fell 0.6% in May.

Orders for computers and electronics rose 8.6% in June. Demand for motor vehicles and parts eased 0.1% last month.

Capital goods orders decreased 0.3% after rising 15.8% in May.

Durable-goods inventories at manufacturers slid 0.3% last month. Unfilled orders rose 2.6%. Shipments decreased 0.1%.