Durable goods orders in February increased more than expected 2.2%, the Commerce Department said today.
The latest increase in demand for goods that are expected to last at least three years was driven by a rise in auto demand and follows two months of durable orders decline in a row.
Orders for goods declined 1.3% in January and economists were expecting orders to rebound to 1.1%.
Overall shipment in the month increased 0.9% after falling for two months in a row.
However, the report was not without caution, the non-defense capital goods orders excluding aircraft, unexpectedly fell 1.3% in February. The orders for January were revised to an increase of 0.8%.
Shipment of core capital goods in the month increased 0.5% after falling 1.4% in January. The shipment data is used in the GDP calculation.
Transportation orders increased 6.9% in February after falling 6.2% in January.