The world’s factories roared into life towards the end of 2013 as manufacturing activity delivered its fastest growth in almost three years, fuelling hopes that the global recovery will accelerate this year.
Polls of factories from Asia, to Europe and the US revealed strong growth in activity and employment in December. Businesses around the world also expressed confidence that conditions would stay strong in the months ahead, signalling 2014 could be the year when the global economy returns to health after the financial crisis.
Economists said the global purchasing managers’ index, compiled by JPMorgan and Markit, and published yesterday, suggested the foundations for a sustainable recovery were being laid. “When you look at the level of the new orders index that gives an encouraging signal that the pick-up in activity is going to stay strong,” said David Hensley, director of global economics at JPMorgan Chase Bank. Other data released towards the end of last year also pointed to a rise in demand, he said.