Investing.com – Manufacturing activity in the U.K. increased unexpectedly in October, rising for the first time since March, data showed on Monday.
In a report, market research group Markit said that its U.K. manufacturing PMI rose to a seasonally adjusted 54.9 in October, after dropping to 53.4 in September.
Analysts had expected the manufacturing PMI to fall to 53.0 in October.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
Commenting on the report, Rob Dobson, senior economist at Markit said, “Manufacturing remained a driver of UK economic growth at the start of the final quarter". He added, “Looking ahead, business confidence, private investment spending and exports will be important to sustaining the recovery as growth derived from the public sector and consumers is hit by austerity measures and rising job insecurity.”
Following the release of that data, the pound was up against the U.S. dollar, with GBP/USD gaining 0.24% to hit 1.6080.
Meanwhile, European stock markets were up. The FTSE 100 jumped 0.85%, the EURO STOXX 50 gained 0.93%, France’s CAC 40 added 0.96%, and Germany's DAX was up 0.95%.
In a report, market research group Markit said that its U.K. manufacturing PMI rose to a seasonally adjusted 54.9 in October, after dropping to 53.4 in September.
Analysts had expected the manufacturing PMI to fall to 53.0 in October.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
Commenting on the report, Rob Dobson, senior economist at Markit said, “Manufacturing remained a driver of UK economic growth at the start of the final quarter". He added, “Looking ahead, business confidence, private investment spending and exports will be important to sustaining the recovery as growth derived from the public sector and consumers is hit by austerity measures and rising job insecurity.”
Following the release of that data, the pound was up against the U.S. dollar, with GBP/USD gaining 0.24% to hit 1.6080.
Meanwhile, European stock markets were up. The FTSE 100 jumped 0.85%, the EURO STOXX 50 gained 0.93%, France’s CAC 40 added 0.96%, and Germany's DAX was up 0.95%.