U.S. manufacturing orders beat expectations in October

Against the background of increased demand in the field of mechanical engineering, the number of orders in October for the U.S.-made goods also increased. Moreover, the growth exceeded analysts' expectations. Thus, fears of a possible production slowdown were unfounded.

Industrial orders rose 0.3% in September and were up 1% in October, compared with a Reuters forecast of a 0.7% increase. Year-on-year growth was 12.8%.

Tight U.S. Fed policy is reducing demand for goods, weakening manufacturing in the country. This is shown by a survey conducted by the Institute for Supply Management. According to it, factory activity in November decreased that much for the first time in more than 2 years.

The growth in October is explained by a 2.2% increase in orders for transportation equipment for civil and defense aircraft. The growth was also caused by an increase in orders for electrical equipment (computers, home appliances, and components).