Demand for expensive goods unexpectedly rose in July, making a second consecutive surge, while an indicator of capital spending by businesses leaped higher.

Orders for durable goods increased 1.3% last month to a seasonally adjusted $219.26 billion, the Commerce Department said Wednesday. Some of the jump was due to stronger demand for aircraft, but even excluding transportation sector bookings, all other durable orders rose a promising 0.7%.

Durables are manufactured goods designed to last at least three years. Orders in June were revised higher, also rising 1.3%; previously, June durables were seen rising 0.8%.

The report Wednesday was much better than Wall Street expected; economists had forecast a decline of 0.4% for July.

A barometer of business equipment spending — orders for nondefense capital goods excluding aircraft — increased in July by 2.6%, after going up 1.3% in June. Year-over-year, the barometer has increased 4.2%, indicating capital spending hasn’t collapsed despite an uncertain economic outlook, tight credit conditions, and the soaring commodity prices that have pressured corporate profit margins.

July shipments for no-defense capital goods excluding aircraft rose by 0.6%, after increasing 0.4% in June; the shipments are used in calculating gross domestic product, which is the broad measure of economic activity in the U.S.

The durables report is an important indicator of how the manufacturing sector — and overall economy — is faring. Manufacturers need orders before increasing production. The orders data are extremely volatile and prone to large revisions. The first adjustment to the overall durables number for July will be released with the factory orders report due out next week.