ORDERS DOWN: Orders to U.S. factories fell 0.5 percent in June, the third decline in the past four months, further evidence that the economy has slowed.

INVESTMENT WEAK: Demand for core capital goods, a key category viewed as a proxy for business investment, fell 1.7 percent, with orders for heavy machinery and computers both down.

OUTLOOK: Manufacturing has slowed in recent months along with the rest of the economy. Many analysts believe factory activity will remain sluggish in coming months, reflecting in part the global economic slowdown which has cut into exports.