Durability Endures

Finally, some good economic news:

WASHINGTON (Reuters) - An unexpected jump in U.S. durable goods orders last month backed hopes the economy was healing, a prospect cautiously supported by the Federal Reserve on Wednesday.

The Federal Reserve said the economy was now contracting at a more moderate pace, as it left interest rates at the current range of zero to 0.25 percent, as expected, at the close of its two-day policy meeting.

News from the hard-hit housing market remained mixed, however, underlining the challenges to an economic recovery.

The Commerce Department reported that new orders for long-lasting U.S. manufactured goods rose by 1.8 percent in May, surprising analysts who had expected a decline.

Manufacturing accounts for about one-third of the economy, and provides a good barometer for overall business health.

"The data is another positive sign for the U.S. economy," said Brian Kim, a currency strategist at UBS in Stamford, Connecticut.

Does this mean that spending is making a comeback? If so, will the Democratic hopes for more economic intervention be rendered unecessary? One can only hope.