Monday 2 December 2013

Global factory growth picks up but Europe diverging

''Increasing demand for manufactured goods drove global factory activity higher last month but the spurt in the euro zone masked a widening disparity among some of the bloc's key members.

As year-end approaches, the global economy is showing signs of a more solid recovery, with encouraging signs from some economies, particularly Britain, of an acceleration.
But growth in Europe's 17-nation currency union remains weak and Markit, compiler of the monthly Purchasing Managers' Indexes, said on Monday that there was evidence of a renewed downturn in France and Spain.
France's PMI fell to a five-month low of 48.4 from 49.1, chalking up its 21st month below 50, while Spain's sank back below the 50 break-even mark after spending the last three months in growth territory.
By contrast, data from Germany, Europe's biggest economy, showed factories there had their best month since mid-2011. Italian figures showed manufacturing there also picked up speed''.
Source: Reuters

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