U.S. Factory Orders Plunge in July

Factory orders plunged a record 7.5% in July as demand fell sharply for airplanes, electronics and communications equipment, the Commerce Department said. Excluding transportation, factory orders fell a more modest 2.6% in July. Orders for electronic and electrical equipment, including household appliances declined 17.2%. Orders for industrial machinery, including computers and machine tools, however, rose 5.5%. Economists said the manufacturing sector remains in good shape with orders so far this year running 9.5% higher than the same period last year. Separately, the Labor Department said the number of Americans filing new claims for unemployment benefits last week fell by 3,000 to 318,000.