* U.S. factory orders rise 0.9 percent in September

* Durable goods orders revised up

* Shrinking nondurables inventories could curtail growth

(Adds details on auto sales)

By Lisa Lambert

WASHINGTON, Nov 3 (Reuters) - U.S. factory orders rose a stronger-than-expected 0.9 percent in September, and inventories continued to shrink, bolstering prospects for a sustained economic recovery.

It was the fifth month out of the past six U.S. manufacturers saw orders rise, the Commerce Department said on Tuesday. Analysts had expected a 0.8 percent increase.

"It's a solid rise in orders. They are consistent with manufacturing growing again," said James O'Sullivan, chief economist for MF Global in New York. "Inventories are still falling so there is more room for orders and production to grow."

Factories cut their stocks by 1 percent in September, the 13th straight month of declines in manufacturing inventories. It is the longest streak of falling inventories since a 15-month string that began in February 2001.