A rise in durable goods orders triggered life in the manufacturing sector, while claims for jobless benefits reported a jump, another alarming sign for the labor markets.

"Over the course of the year, new orders have been gently climbing amid substantial volatility, suggesting that new orders have troughed and are now recovering after falling significantly in 2008", Insight Economics analyst Steven Wood said.

Manufacturers' orders for goods designed to last three years increased 3.0% last month, to a seasonally adjusted $175.75 billion, the Commerce Department revealed Thursday.

Economists surveyed by Dow Jones Newswires are revealed to speculate a 1.5% surge in durables, which include cars, computers, and toasters.

However, orders for nondefense capital goods excluding aircraft, registered a 2.9% fall. The orders are seen as a barometer of capital spending by businesses.

The Labor Department Thursday posted initial claims for jobless benefits reportedly jumped by 22,000 to 496,000 in the week ended Feb. 20, touching the biggest level since the week of Nov. 14, 2009. A survey by Dow Jones Newswires expected a drop of 13,000.

The strong January durable goods report marked the second climb in a row. December durables rose 1.9%, revised way up from a previously reported 1.0% increase.