World economy slows heading into year-end - PMIs

Wed Nov 7, 2012 12:16am IST

A labourer works at a factory of Sany Heavy Industry Co Ltd on the outskirt of Shanghai, October 26, 2012. REUTERS/Darcy Holdorf

A labourer works at a factory of Sany Heavy Industry Co Ltd on the outskirt of Shanghai, October 26, 2012.

Credit: Reuters/Darcy Holdorf

Related Topics

REUTERS - The world economy slowed in October, dragged back mainly by a shrinking manufacturing sector, a business survey showed on Tuesday.

JPMorgan's Global All-Industry Output Index fell in October to 51.3 from September's 52.4, although it stayed above the 50 mark dividing growth from contraction.

"The start of the final quarter has seen global economic growth continue to track at a below long-run trend pace," said David Hensley, director of global economics coordination at JPMorgan.

"A contracting manufacturing sector remains the main drag, while the larger service sector remains on a subdued expansion path."

The global services index also fell to 52.1 from September's 53.8, although it still signalled expansion for a 39th straight month.

"Although rates of growth in both output and new orders lost momentum, companies were sufficiently encouraged to raise employment for the second time in the past three months," said Hensley.

JPMorgan said the euro zone remained the biggest setback for the world's services economy, after data earlier on Tuesday confirmed a steep downturn for the currency zone's biggest economies.

(Editing by Ruth Pitchford)

FILED UNDER:
  • Most Popular
  • Most Shared

DEFENCE

REUTERS SHOWCASE

Canonisation

Canonisation

Pope declares sainthood of two Indians, four Italians.  Full Article 

Stake Sale Strike

Stake Sale Strike

Coal India trade unions call off strike in victory for Modi.  Full Article 

Markets Weekahead

Markets Weekahead

Ride the bull with a finger on the ejector button.  Full Article 

Arms Purchase

Arms Purchase

India approves $2.6 bln mounted gun purchase - official.  Full Article 

Interview with Bulgari CEO

Interview: Bulgari CEO

Bulgari CEO: we shouldn’t have left India so we’re back  Full Article 

Formula One

Formula One

Hamilton takes second F1 title in style.  Full Article 

Available For Remake

Available For Remake

Bollywood finally wants to pay the price for remakes  Full Article 

Davis Cup

Davis Cup

Vintage Federer seals first Davis Cup for Switzerland.  Full Article 

Movie Review

Movie Review

"Happy Ending" is old wine in an older bottle  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage