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The following article was published in our article directory on November 3, 2010.
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World Economic Recovery Foundation Promising Solid

Article Category: Business Management

Author Name: Amanda xzh

Recently published series of major economies, the rebound in manufacturing index shows the manufacturing sector of these economies continue to expand, the order situation improved significantly. Meanwhile, stock markets crashed around the rise also shows that investors see hope: the global economic recovery has been more and more solid foundation.

UK economic research firm 2 report showed the euro zone in October manufacturing index (PMI) increased from 53.7 in September to 54.6, exceeding the expected 54.1. This shows that in October the European manufacturing industry started to grow. German economic recovery remains strong growth in the leading position in the manufacturing sector; France, moderate growth; Spain began the end of downward trend.

Economy has been bogged down in the quagmire of the United Kingdom also recently announced a manufacturing index surprising: October manufacturing index rose to 54.9, since the first increase since March. This strong economic growth in the third quarter of the UK 0.8%, in line also shows British economic growth during the year is unlikely to slow further. Data-producing agencies in M arkit economist Rob Dobson, said the data "will make people at ease, into the last quarter, the manufacturing sector will remain a driving force in economic growth in the UK."

Leading U.S. research institutions on the 1st Institute for Supply Management report showed the U.S. index of manufacturing activity in October (PMI) was 56.9, higher than September's 54.4, the manufacturing sector expanded for the 15th consecutive month, indicating that the U.S. economy continues to recovery. Institute for Supply Management believes that the U.S. economy continues to recover in the context of the manufacturing sector also continued expanding, including cars, computers, and a manufacturing export sector the engine of recovery. However, analysts believe that this indicates a good start the fourth quarter, the preliminary indicators, may not be sufficient to prevent the Fed started the second round of 3 quantitative easing monetary policy to further promote U.S. economic growth, to a lot of money into the economy again.

In emerging economies, China Federation of Logistics and Purchasing 1, data showed that China October manufacturing PMI was 54.7, a rebound in the third consecutive month, reaching the highest point for six months. Experts said that, PM I picked up a row index to reflect economic trends continue to maintain steady and rapid growth, however, need to pay close attention to future economic trends should not be too optimistic.

Meanwhile, HSBC 1 release of the report, India's October manufacturing PMI a significant rebound, rising to 55.1 from 57.2 in September, ending a two-month decline in the situation. HSBC Asia economist Mr Neumann said that the Indian manufacturing sector is still subject to strong domestic consumer spending, employment growth is still strong domestic demand shows.

However, data from Japan and South Korea is not very optimistic. Following Friday's data showed Japan's manufacturing sector shrinking for two consecutive months, the HSBC report said, South Korea October manufacturing index declined for two consecutive months, from 48.8 in September slipped to 46.75, the highest since 2009 2 the lowest value since January. Credit Suisse calculates that, in addition to Japan and China, the growth rate of industrial production in Asia in January next year, will drop to 3.5%, the lowest level, while the long-term average growth rate of 6.1%.

Analysts pointed out that, despite some slowdown in the manufacturing sector in Asian countries, but no country in the region would be expected to relapse into depression. Asian Development Bank recently also raised its 2010 Asia (excluding Japan) economic growth forecast from 7.5% to 8.2%.

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