U.S. factory orders reaped new gains in August

New orders for U.S. made goods accelerated in August, signaling sustained strength in manufacturing even though economic growth appeared to have slowed during the third quarter of 2021 because of shortages of raw materials and labor.
“Factory orders increased 1.2% in August. Data for July was revised higher to show orders rising 0.7% instead of gaining 0.4% as previously reported”, the Commerce Department said on Monday.
Orders have now increased for four straight months. Economists polled by Reuters had forecast factory orders gaining 1.0%. Orders shot up 18.0% on a year on year basis.
“Factory orders continue to climb, a good sign for manufacturing, however, manufacturing is still being tested by the global supply-chain issues.
Shortages held back shipments of factory goods, which barely registered a 0.1% gain in August after advancing 1.5% in July.