The U.S. Commerce Department released factory orders data on Thursday. Factory orders in the U.S. dropped 2.9% in December, missing expectations for a 2.8% fall, after a 0.7% decline in November. It was the largest decline since December 2014.

November's figure was revised down from a 0.2% decrease.

A strong dollar and a weak demand abroad weighed on factory orders.

Durable goods orders were slid 5.0% in December.

Orders for transportation equipment plunged 12.6%, while orders for automobiles and parts climbed 1.4%.

Factory orders excluding transportation declined 0.8% in December, after a 0.7% drop in November. November's figure was revised down from a 0.3% fall.