Durable goods orders jumped 1.7% in February, following an upwardly revised 2.3% in January. A surge in aircraft orders helped buoy overall gains for the second consecutive month. Gains outside of the volatile aircraft sector were uneven. Primary metals posted strong gains along with appliances, computers and electrical equipment. The rebound in primary metals reflects a recovery in the shale industry, where investment has been slowly rebounding after crashing a year ago.
We are also seeing some spillover in demand for housing-related durable goods.