The May rise in factory orders was in line with expectations.

In May, demand for durable goods, big-ticket items expected to last at least three years such as computers, cars and machinery, increased slightly to 213.5 billion dollars, unchanged from the previously published increase.

Orders for transportation equipment, which account for more than a quarter of total durable goods demand, increased 2.5 percent after plunging 8.3 percent in the previous month.

Excluding volatile transportation products, overall factory orders would have risen 0.4 percent.

Orders for nondurable goods, including food, paper products, petroleum and coal products, increased by 1.2 percent in May to 235.1 billion dollars.

The manufacturing sector has been hit hard by the ongoing housing slump. According to the Institute for Supply Management on Tuesday, the sector unexpectedly grew in June after declining for four consecutive months. (Xinhua)