Economic Buzz: US factory orders spike 8.2% in May

New orders for U.S. manufactured goods saw a substantial rebound in the month of May, according to a report released by the Commerce Department on Thursday.

The Commerce Department factory orders spiked by 8.2 percent in May after plunging by a revised 3.9 percent in April.

The rebound by factory orders came as durable goods orders soared by 16.4 percent in May following a 6.6 percent nosedive in April. Orders for transportation equipment led the way higher, skyrocketing by 48.3 percent.

Meanwhile, the report said orders for non-durable goods inched up by 0.1 percent in May after slumping by 1.0 percent in April.

The Commerce Department also said shipments of manufactured goods crept up by 0.1 percent in May after falling by 0.3 percent in April.

Inventories of manufactured goods also ticked up by 0.1 percent in May after edging down by 0.1 percent in April.

With inventories and shipments both inching slightly higher, the inventories-to-shipments ratio in May was unchanged from the previous month at 1.58.

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