A Stern Glance

New orders for long-lasting U.S. manufactured goods, or Durable Goods, rose 1 percent in September, reversing a 2.6 percent decline in August, but up from a 24.1 percent drop a year ago, Commerce Department reported today.Durable goods orders are considered a leading indicator of manufacturing.

Nondefense capital goods excluding aircraft, a closely watched indicator for business spending, rose 2 percent in September after falling 0.8 percent the month before.

Shipments of durable goods rose 0.8 percent in September and have been up for three of the last four months, while inventories fell for the ninth month in a row, by 1 percent.

There are concerns that the continued paring of inventories will be a drag on economic growth. The Commerce Department will report third-quarter gross domestic product on Thursday. An increase in GDP is widely expected based on rebounds in consumer spending and the housing market.

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