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AI lifts factory orders
U.S. factory orders rose 1.8% in September, exceeding economists’ forecast of 1.2%, following a revised 0.3% increase in August. Orders were up 7.2% year over year. Growth was driven by a 28.3% jump in bookings for civilian aircraft and parts, along with a 1.5% rise in machinery orders. The expansion of AI infrastructure and strong consumer spending also supported manufacturing. Economists warned that higher interest rates and declining real household incomes could weigh on the sector over the coming year, particularly in industries that benefit less from the AI spending boom.
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