US factory orders rose in June as demand for aircraft soared

WASHINGTON — Orders at U.S. factories increased in June as demand surged for aircraft.

The Commerce Departments said Thursday that factory orders increased 3 per cent in June, a solid rebound after declining in May and April. But the gains largely came from a massive 131 per cent jump in orders for civilian aircraft, a category that can be volatile on a monthly basis.

U.S. manufacturing has been recovering from a slowdown in late 2015 caused by lower energy prices and a strong dollar that made American products more expensive overseas. Factories have responded with a relatively slight upturn in hiring. Manufacturers added a modest average of 8,833 jobs during the first six months of this year.

Excluding the transportation sector that includes aircraft, factory orders slipped 0.2 per cent in June.