Finance

Nikkei India's services PMI rises 51.2 in August

Nikkei India's services PMI rises 51.2 in August

Manufacturers reported a sharp increase in output in August and new orders received by Dutch manufacturers grew at the fastest pace since December 2013.

The IHS Markit/CIPS purchasing managers' index for the United Kingdom manufacturing sector jumped to 56.9, a four-month high, in August from an upwardly-revised 55.3 in July, easily exceeding the 55.0 consensus forecast in a poll of economists.

A private sector survey confirmed earlier data pointing to a pick-up in Chinese manufacturing in August, but some economists remained unconvinced about the staying power of the upturn. Only "textiles clothing furniture and other manufacturing" contracted (46.1 points) but even this sub-sector improved from previous months.

The stronger-than-expected reading indicates that United Kingdom manufacturing is expanding at a faster pace.

The number comes after United Kingdom manufacturers saw an uptick in new orders within the domestic market while export orders also remained robust during the month.

Companies expanded their production schedules and buying activity, while business confidence rose to its highest level in five months.

China posted stronger-than-expected economic growth of 6.9 percent in the first half, fueled by a year-long construction boom, resurgent exports and robust retail sales.

The dollar held stronger in Asia on Thursday with China manufacturing data coming in better-than-expected and investors generally upbeat on the regional view and chance s for US tax cuts later this year. Purchase price inflation accelerated for the first time in seven months during August. Consequently, output prices rose at a solid pace that was the fastest in 2017 to date.

"The rebound in August, led by the consumer goods, intermediate and capital goods sectors, suggests that manufacturing firms are now adjusting to the GST regime and that business is returning to normal", it added.