Article content

WASHINGTON — Demand for long-lasting U.S. manufactured goods surged in February, though a gauge of planned business spending slipped after surging the previous month, suggesting factory activity continued to expand at a moderate pace.

Durable goods orders jumped 5.7% as demand for transportation equipment rebounded strongly, the Commerce Department said on Tuesday. The rise last month in durable goods orders, which range from toasters to aircraft, reversed January’s 3.8% plunge.

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or Demand for U.S. durable goods surges more than expected Back to video

Economists polled by Reuters had expected orders to rise 3.8% after a previously reported 4.9% fall in January.

Excluding transportation, orders slipped 0.5% after increasing 2.9% in January. Economists had expected a 0.5% rise.

Non-defense capital goods orders excluding aircraft, a closely watched proxy for business spending plans, fell 2.7%, the largest decline since July. Orders for the so-called core capital goods had jumped 6.7% in January and economists had expected a 1.2% drop last month.