Investing.com - Manufacturing activity in the U.K. expanded at the fastest pace since February 2011 in August, fuelling optimism over the country’s economic outlook, industry data showed on Monday.
In a report, market research group Markit said that its U.K. manufacturing PMI rose to a seasonally adjusted 57.2 in August from an upwardly revised reading of 54.8 in July.
Analysts had expected the manufacturing PMI to ease up to 55.0 last month.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The data showed that output and new orders rose at the fastest pace since 1994 last month, indicated that the manufacturing sector maintained its robust start to the third quarter of 2013.
Commenting on the report, Rob Dobson, senior economist at survey compiler Markit, said, “Manufacturing is clearly making a strong positive contribution to the economy.”
Following the release of the data, the pound added to gains against the U.S. dollar, with GBP/USD rising 0.48% to trade at 1.5580.
Meanwhile, European stock markets remained higher. The EURO STOXX 50 rallied 1.5%, France’s CAC 40 jumped 1.5%, Germany's DAX advanced 1.5%, while London’s FTSE 100 climbed 1.25%.
In a report, market research group Markit said that its U.K. manufacturing PMI rose to a seasonally adjusted 57.2 in August from an upwardly revised reading of 54.8 in July.
Analysts had expected the manufacturing PMI to ease up to 55.0 last month.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The data showed that output and new orders rose at the fastest pace since 1994 last month, indicated that the manufacturing sector maintained its robust start to the third quarter of 2013.
Commenting on the report, Rob Dobson, senior economist at survey compiler Markit, said, “Manufacturing is clearly making a strong positive contribution to the economy.”
Following the release of the data, the pound added to gains against the U.S. dollar, with GBP/USD rising 0.48% to trade at 1.5580.
Meanwhile, European stock markets remained higher. The EURO STOXX 50 rallied 1.5%, France’s CAC 40 jumped 1.5%, Germany's DAX advanced 1.5%, while London’s FTSE 100 climbed 1.25%.