US factory orders show biggest rise in 11 months

There may be good news on the horizon for the North American economy.

The US economy, the driving force behind the continent’s economy, is showing signs of emerging from the lethargy it has been in since late last year. New orders to US factories jumped at the fastest pace in nearly a year. Factory orders jumped 2.5 per cent in May — the biggest one-month increase since last June.

Higher demand for industrial machinery and computer chips led the rise, though faltering orders for telecommunications and other high-tech equipment held it down.

Other statistics – including an index of leading economic indicators, consumer confidence surveys and consumer spending figures – have added to hopes of a general economic recovery.