WASHINGTON -- Friday's report announcing that orders for big-ticket manufactured goods skyrocketed during July will cause the Federal Reserve to at least pause before lowering interest rates again, but without further signs of solid economic recovery, an easing still is possible, analysts said Friday.

The Commerce Department reported that orders for durable goods surged 10.7% in July, the largest such increase in over 20 years. Although nearly half the increase was attributed to a spurt in aircraft orders, which vary widely from month to month, most other industries also experienced sizable increases, economists said. Thus, the report provided the most positive sign to date that the industrial recovery is gathering steam, they said.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.