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Factory orders rise 0.9% in April
New orders for planes and cars rose, but some electronics and non-durables fell, the Commerce Dept. said. Economists had forecast a 1% gain. Factory orders ex transportation fell 0.2%. Nondefense capital goods orders ex aircraft gained 1.7% to reverse March's declines. March orders were also revised up sharply to a 0.7% gain from 0.1%.
Mortgage rates dip, but rise seen
The average 30-year rate hit a 3-month low of 5.62% this week vs. 5.65% last week. But Freddie Mac said an improving job market and a growing economy are set to push rates higher in coming months. The 15-year rate fell slightly to 5.20%, as one-year ARM rose to 4.26% from 4.21%. Officials expect housing to stay healthy.
** Minneapolis Fed President Gary Stern said the rise of adjustable-rate mortgages aren't a huge risk to banks, though "relaxed" credit standards do offer some room for concern.
** M2 money supply rose by $12.1 bil in the week ended May 23. M3 gained $21.4 bil to $9.5992 bil. M1 added $21.1 bil ...