U.S. Factory Orders Surge 1.8% in November, Crushing Forecasts

U.S. factory orders jumped 1.8% in November 2025, far exceeding the 0.8% consensus forecast, signaling resilient industrial demand despite elevated interest rates. The Commerce Department reported durable goods orders rose 2.2%, led by transportation equipment, while core capital goods orders — a proxy for business investment — climbed 0.9%. October’s figure was revised slightly higher to -0.2%. The rebound suggests manufacturing may be stabilizing after months of contraction, offering policymakers cautious optimism ahead of the Fed’s February meeting. Shipments and unfilled orders also rose, indicating sustained pipeline pressure. Inventories edged up 0.3%, suggesting firms remain confident in near-term demand.