Orders for long-lasting U.S. manufactured goods posted the first gain in three months in May, but economists warn that the May data is not as good as it looks.
Durable goods orders increased 1.1 percent, the Commerce Department said Wednesday, after a revised 0.2 percent decrease in April. Economists polled by Reuters had forecast May orders would register a 0.4 percent gain. Excluding transportation, orders rose 0.4 percent after falling 0.6 percent in April.
May U.S. durable goods orders are not as good as it looks, Capital Economics Senior U.S. Economist Paul Dales wrote in a note, adding that this provides further evidence that the industrial recovery has slowed.