Businesses ordered more computers, communications equipment and other big-ticket items in August, a sign they aren't cutting back spending plans despite weak economic growth.
The Commerce Department says orders for capital goods, a measure of business investment plans, rose 0.9 percent in August, the second gain in three months.
Overall factory orders fell 0.2 percent, after rising a downwardly revised 2.1 percent in July. Orders for autos and auto parts fell sharply, dragging down the overall total. But that comes after automotive orders jumped by the most in eight years in July. Automakers are returning to full production after output was interrupted by Japan's March 11 earthquake.