Economy

July 02, 2008 10:08 am

— By MARTIN CRUTSINGER
AP Economics Writer
WASHINGTON (AP) — Orders to U.S. factories turned in the weakest performance in three months in May, reflecting slumping demand for autos, heavy machinery and steel.
The Commerce Department reported Wednesday that factory orders rose by 0.6 percent in May, less than half the gains turned in during April and March. It was the poorest showing since factory orders had fallen by 0.4 percent in February.
The May performance was in line with expectations. Economists are watching to see how big an impact the overall economic slowdown will have on manufacturing, which has been hurt by troubles in the auto industry and housing-related industries.

Photos

** FILE ** In this May 19, 2008 file photo, Boeing 787 jets are lined-up nose to tail as they slowly move to the front of the assembly line in Everett, Wash. Orders to factories for big-ticket manufactured goods were basically flat in May as strength in demand for aircraft and computers was offset by widespread weakness elsewhere, the Commerce Department reported Wednesday, June 25, 2008. (AP Photo/Elaine Thompson, file)