UK factories still growing as euro area speeds up
MANUFACTURERS reported strong growth again in the UK during January, while the expansion of Eurozone factories picked up speed.
The UK’s purchasing managers’ index score fell marginally to 56.7, slightly below the 57.2 recorded at the end of 2013. However, any figure over 50 indicates growth.
The sector is still largely being buoyed by domestic spending, but demand for investment goods is rising at one of the fastest paces in two decades.
“The latest survey provided good news on the jobs front as well, with manufacturers adding to their payrolls at one of the fastest clips seen for two and a half years,” said Markit senior economist Rob Dobson.
The Greek manufacturing sector returned to growth in January, recording the strongest expansion in the hollowed-out sector for just over five years.
Data firm Markit recorded a manufacturing purchasing managers’ index (PMI) score of 51.2 for the depressed Mediterranean economy. The score is an improvement from December’s 49.6, and the country’s best industrial indicator for 65 months.
The Eurozone manufacturing sector’s score was 54, the highest in two and a half years. France lagged behind again, with a score of 49.3, the only major economy measured in which industry still appears to be contracting.