U.S. factory orders increased 0.7 percent in May, a welcome sign after two months of declines.
Still, manufacturing has slowed from the start of the year, adding to worries that weaker global growth could weigh on the U.S. economy.
Manufacturing has lost some vigor this year. U.S. consumers and businesses are less confident in the economy and are spending less. Europe's debt crisis has reduced demand for U.S. exports. And manufacturing has slowed in big countries like China, which rely on U.S. factories for equipment, machinery and vehicles.
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