US manufacturing rebounds to ten-month high
Manufacturing outlook in the US is rosier, with business conditions growing more solid, as Markit's headline purchasing managers' index number was at its highest since January in November – rising to 54.7, from 51.8 in October.
New orders were also at their highest since January, with the output index at its highest since March 2012.
Employment in the manufacturing sector increased for the fifth month in a row, although the rate of job creation slowed over the month.
Commenting on the final PMI data, Chris Williamson, chief economist at Markit said:
Large companies are leading the upturn, having escaped the impact of the shutdown, with output and new orders growth rending higher in recent months. SMEs suffered a bigger shutdown impact, but saw growth rebound again in November. Similarly, while employment rose in SMEs, it is larger firms that are driving job creation.
One of the most encouraging trends we are seeing, however, is a surge in the production of capital goods such as plant and machinery, which is growing at the fastest rate since the financial crisis, fuelled by rising domestic demand. This is a great sign that companies are feeling sufficiently confident to be boosting investment.