December durable-goods orders up 5.2%

U.S. durable-good orders increased $11.2 billion or 5.2% in December, the Department of Commerce reported today, exceeding original forecasts and posting a positive economic sign in the midst of recession fears. The rise of durable goods orders, which are designed to last at least three years, was a distinct improvement from the 0.5% reported for November and was the biggest gain since July, the report said. Inventories of manufactured durable goods increased $3.5 billion or 1.1% to $320.7 billion, the highest level since 1992. Defense orders for capital goods rose 80.6% for the month to $11.6 billion. Non-defense new orders for capital goods increased 5.4% in December to $81.1 billion.