US Factory Orders Rise 1.5 Percent on Electronics Demand
US factory orders rose 1.5% in March, exceeding the 0.5% growth forecast. The gain was driven by the strongest demand for electronics products in 25 years.
New factory orders in the United States rose 1.5% in March, the largest monthly gain since November. The increase beat the 0.5% growth predicted by economists and follows an upwardly revised 0.3% rise in February. Investors should note that surging demand for electronics, fueled by artificial intelligence investment, is driving a recovery in a sector representing 10.1% of GDP.
### Electronics Demand Hits 25-Year High The March expansion was driven primarily by the computers and electronics category, which saw its largest single-month order volume in 25 years. Orders in this segment climbed 3.6% to $29.6 billion, the highest level recorded since March 2001. Within electronics, new orders for electromedical, measuring, and control instruments rose 7.9% to a record $10.6 billion.
