Ahead Of The Bell: Durable Goods

WASHINGTON (AP) — Orders to factories for big-ticket durable goods likely grew in September after an August slump as strong demand for autos offset continuing weakness in aircraft.

A rebound in orders for items expected to last at least three years like autos, computers and steel would be an encouraging sign of a rebound in the manufacturing sector, which has helped lead the early stages of the fledgling economic recovery. But many economists worry that demand could falter in the months ahead as various government stimulus programs wind down.

Economists surveyed by Thomson Reuters expect orders rose 1 percent in September following a 2.6 percent decline in August. Orders excluding transportation likely grew 0.7 percent, after a 0.3 percent decline in August.

The Commerce Department is slated to release the report Wednesday at 8:30 a.m. EDT.

The jump in orders was expected to reflect an effort by auto dealers to restock after an August sales surge powered by the government's Cash for Clunkers program, which offered incentives for buyers to trade in their old cars for more fuel efficient models.