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Published: July 02, 2008 11:10 am    print this story  

URGENT — Factory orders post modest 0.6 percent gain in May

By MARTIN CRUTSINGER
Associated Press

WASHINGTON — Orders to U.S. factories turned in the weakest performance in three months in May, reflecting slumping demand for autos, heavy machinery and steel.

The Commerce Department reported Wednesday that factory orders rose by 0.6 percent in May, less than half the gains turned in during April and March. It was the poorest showing since factory orders had fallen by 0.4 percent in February.

The May performance was in line with expectations. Economists are watching to see how big an impact the overall economic slowdown will have on manufacturing, which has been hurt by troubles in the auto industry and housing-related industries.

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