Businesses are betting on more growth.
According to Census Bureau data released on Tuesday, orders for nondefense capital goods excluding aircraft — a.k.a. core capex or business investment — climbed 1.0% to a record $80.8 billion in March. This was notably stronger than the 0.5% economists expected.
These are orders for expensive equipment1 like industrial machinery and electronic computers, which businesses use to produce the goods and services they sell to their customers.