Factory Orders Rebounded In July

American factories in July saw the biggest increase in orders for their products since last fall, but signs persist that financial troubles in Asia are hitting home.

“The manufacturing side of the economy continues to be under some stress,” said David Orr, an economist with First Union Corp. of Charlotte, N.C.

Factory orders jumped 1.2 percent in July, the Commerce Department said Wednesday. It was the best showing since last November. Orders totaled a seasonally adjusted $335.2 billion, with growth led by a rebound in demand for electronics and industrial machinery.

July was the second month of recovery in factory orders from a 2.2 percent May drop that was the biggest in three years. In June, orders rose 0.3 percent - slightly more than originally reported.