Manufacturers fear false upturn
28 August 2012
Manufacturing experienced a sharp upturn during September, according to the CIPS/NTC Research purchasing managers’ index (PMI), but there are fears this upbeat picture hides deep-seated problems within the sector.
The manufacturing PMI rose from 52.2 in August to 52.9 in September, the sector’s third consecutive month of growth and its sharpest rate of expansion for 17 months. New business was the principal driver, largely on the back of the weakness of the pound against the euro.
Manufacturing’s buoyancy was matched in services and construction. Services moved to 58.7...