US durable goods orders rebound in October

New orders for durable goods in the US rose in October after falling for the previous two months, pointing to increased capital spending by businesses and improved sentiment.

Durable goods orders rose 0.2%, or $700 million, to $286.6 billion in October, data from the National Bureau of Statistics showed on Wednesday.

This came following a decline by 0.4% in September and 0.9% in August, compared with a 9.8% rise in July, the data showed.

Overall, the data suggests that companies are maintaining capital investment levels in equipment despite the Federal Reserve’s post-pandemic interest rate hikes to combat inflation, backed by the investment boom in artificial intelligence technology.