Investing.com - U.S. durable goods orders rose more than expected in March, official data showed on Thursday.
The better than forecast data added to speculation the U.S. economy is strong enough to warrant multiple interest rate hikes in the months ahead.
Total durable goods orders, which include transportation items, rose by a seasonally adjusted 2.6% last month, easily surpassing forecasts for a gain of 1.6%, the Commerce Department said.
Orders for durable goods in February rose by 3.5%, whose figure was revised from a previously reported increase of 3.0%.
Commercial plane orders surged 44.5% in March, riding a big increase in contracts for Boeing (NYSE:BA) planes.
Durable goods are typically bulky or heavy products designed to last at three years, such as trains, planes and automobiles.
Core durable goods orders, excluding volatile transportation items, were flat, disappointing expectations for a gain of 0.5%. Core durable goods orders rose 0.9% a month earlier.
Orders for core capital goods, a key barometer of private-sector business investment, declined 0.1% last month, compared to forecasts for a gain of 0.6% and following a rise of 0.9% a month earlier.
Core shipments declined 0.7% in March.