Global Manufacturing Shows Signs of Improvement

November revealed tentative signs that global manufacturing may be poised for a recovery. The J.P. Morgan Global Manufacturing PMI rose back into growth territory posting a seven-month high of 50.3. Consumer goods led the increase with accelerated growth in new orders and production. PMIs for intermediate and investment goods remained in contraction.

Eleven of the 30 nations surveyed saw manufacturing expansion in November including the U.S., Canada, China and Brazil. Increases in global manufacturing production reflected an uptick in new orders for the first time in seven months. Input prices slowed their pace of growth in November, while output charges rose for the first time in five months. Employment appeared to stabilize, ending a six-month sequence of job losses. Optimism for the future outlook remained subdued.