Economy Back on Track?

Has the economy begun to right itself? Bloomberg is reporting that orders for American durable goods “unexpectedly rose in February on a rebound in demand for machinery, computers and defense equipment.” The 3.4 percent increase is the biggest in a year and the first in seven months. It comes on the heels of a 7.3 drop in January. Bloomberg writes, “Combined with reports showing improvements in retail sales, residential construction and home resales, the figures indicate the economy is stabilizing after shrinking last quarter at the fastest pace in a quarter century. Stepped-up efforts by the Obama administration and Federal Reserve to ease the credit crunch may help revive growth later this year.”