P.M. BRIEFING : Factory Orders Rebound 2.4% to 2nd-Highest Level of 1989

Factory orders rebounded in November from two months of consecutive declines, rising 2.4% to the second highest level of 1989 in a sign of strength for the economy, the Commerce Department reported today.

The November increase followed a revised 0.1% October drop and a 1% September decline. Originally the department said October factory orders fell 0.2%.

Excluding the volatile defense category, factory orders rose 1.8% in November after rising 0.3% in October.

The hike resulted from an increase in orders for durable goods, items ranging from trucks to oil tankers that are meant to last three years or more. Durable goods orders rose 4.8% in November after falling 0.8% in October.

Orders for new aircraft accounted for about 60% of the gain in transportation orders, and autos added about $1.5 billion, the department said. Excluding the transportation category, orders rose 1.1% in November.