Shares of manufacturing and transportation companies rose sharply after strong factory surveys and the passage of a tax bill.
Orders for U.S. manufactured goods fell 0.1% to a seasonally adjusted $479.6 billion in October after two months of marked growth, the Commerce Department said.
The New York chapter of the Institute for Supply Management said its current business conditions index improved to 58.1 in November, up from 51.6 in October.
"We expect the accelerated tax overhaul to add to the current positive momentum in the economy," said Mickey Levy, chief economist U.S., Americas and Asia for brokerage Berenberg, in a note to clients. "The tax legislation includes some key provisions that are expected to have positive sustained impacts, lifting potential growth moderately, and fiscal stimulus through higher deficit spending that will provide a temporary boost to growth in 2018-2019 that will fade." The economist anticipates that businesses will put a good portion of the trillions of dollars of profits likely to be repatriated from overseas to work as capital investment.
--Rob Curran, firstname.lastname@example.org
(END) Dow Jones Newswires
December 04, 2017 16:21 ET (21:21 GMT)