Communications, Cars, Defense Boost Factory Orders 1.8%

Factory orders rebounded by 1.8% in February, boosted by increased demand for automobiles, defense items and communications gear, the Commerce Department said today.

Overall transportation orders were up by 10.4% last month after toppling by 29.4% in January.

The February increase in factory orders, to $231.6 billion, follows a 5.5% decline in January and a modest 0.4% increase in December, the department said.

Excluding defense items, factory orders rose 1.2% last month after a 4.3% fall in January, according to the department’s Census Bureau. Excluding transportation, February orders climbed 0.6% after a 0.9% decline.

Factory shipments climbed by 3.3% in February--the largest gain since 5.4% last August--and unfilled orders declined by 0.5% last month.