WASHINGTON Orders to U.S. factories rose modestly in October, helped by a big gain in demand for equipment that reflects business investment plans.

The Commerce Department says factory orders edged up 0.8 per cent in October, compared to September when orders had jumped 4.5 per cent.

Orders for core capital goods, a category viewed as a good proxy for business investment plans, increased 2.9 per cent in October, the biggest increase in eight months.

That represented an upward revision from an initial estimate of 1.7 per cent. The increase came after big declines in the investment category this summer.

Orders for durable goods rose 0.5 per cent in October, up from a preliminary estimate of no gain, while orders for nondurable goods, items such as chemicals and paper, were up 1.1 per cent.