Core private-sector machinery orders surged a seasonally adjusted 8.2 pct in August from the previous month, the Cabinet Office said. The increase was much bigger than the market had expected, the average forecast of 23 brokerage and research institutes polled by Nihon Keizai Shimbun having been for a rise of 2.5 pct. The estimates varied from a decline of 2.0 pct to an increase of 5.7 pct. Year-on-year, core orders in August jumped 13.4 pct. In July, core private-sector orders fell 4.3 pct from the previous month and were up 10.0 pct from a year earlier. Core private-sector machinery orders, which exclude volatile orders from electric utilities and for ships, are viewed as a leading indicator of corporate capital spending. Despite weak exports in the past six months, corporate investment spending has remained strong, helping keep Japan's economic recovery on track. Machinery orders placed by the manufacturing sector in August rose 9.5 pct month-on-month but were up 14.3 pct from a year earlier, the Cabinet Office data showed. Orders placed by non-manufacturers gained 7.6 pct month-on-month and increased 12.6 pct from a year earlier. Public-sector orders soared 8.0 pct month-on-month but were down 10.1 pct from a year earlier. Public-sector orders have been dropping because of a decline in government spending on public works. Foreign orders dropped 27.5 pct from the previous month and were down 16.3 pct year-on-year. Total orders fell 8.8 pct month-on-month and by 2.1 pct from a year earlier. In July, total orders rose 5.5 pct month-on-month and were up 7.6 pct from the year before.