Durable Goods Up 3.5%

Washington, DC, April 25, 2007—--urable goods orders rose 3.4 percent in March, after a 2.4 percent gain in February, according to the Commerce Department. Excluding transportation orders durable goods orders rose 1.5 percent after a 0.4 percent drop.

Economists were looking for an increase of 2.5 percent.

Aircraft orders rose 38 percent in March after jumping 102 percent a month earlier, today's report showed.

Orders for non-defense capital goods excluding aircraft jumped 4.7 percent, the most since September 2004.

Orders rose in all categories except computers and defense. Demand for machinery increased 4.2 percent and orders for communications equipment jumped 12 percent. A 2.5 percent increase in bookings for primary metals was the biggest since May 2006.

Orders outside of military equipment rose 4.5 percent last month. Inventories of all durable goods increased 0.3 percent.