| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 Asia Economy


How to use our RSS feed

Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.


Finfacts is Ireland's leading business information site and you are in its business news section.


Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax - Income/Corporate

Global News

Bloomberg News

CNN Money

Cnet Tech News


Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News




Content Management by interactivetools.com.

News : Global Economy Last Updated: Oct 7, 2010 - 8:18:33 AM

Growth of global economy slowed to 10-month low in September as rates of expansion eased in manufacturing and services
By Finfacts Team
Oct 6, 2010 - 2:59:50 AM

Email this article
 Printer friendly page
Source: Markit

The global economic recovery downshifted again in September, as rates of expansion eased in both the manufacturing and service sectors. At 52.6, down further from April's post-recession high, the JPMorgan Global All-Industry Output Index posted its lowest reading since last November. The average index reading for Q3 2010 as a whole was the weakest since Q4 2009.

Growth of manufacturing production continued to outpace that of service sector business activity in September. However, the rate of expansion in manufacturing output eased to its weakest since June 2009. Growth of service sector business activity was only modest and the slowest since January.

The recoveries in the US, the Eurozone, China, India and Brazil all eased in September. There was a slight acceleration in the rate of increase in the UK. Russia saw its trend in activity move back into expansion territory, following the heatwave-related contraction in August. Meanwhile, the downturn in Japan continued, reflecting a further decline in service sector activity and the slowest growth of manufacturing output since June of last year.

At 52.6 in September, the Global All-Industry New Orders Index signalled an increase in new business for the fourteenth successive month. Although the rate of expansion was above August's eleven-month low, it was below the average for the current sequence of improvement.

The slowdown in new business growth was mainly centred on the manufacturing sector. Manufacturing new orders rose for the fifteenth month in a row, but at the weakest pace during that period. In contrast, growth of service sector new business picked up slightly and outpaced that signalled at manufacturers. September data pointed to a slight increase in employment for the seventh month in a row. However, the rate of jobs growth was only slight, as modest staffing gains in manufacturing were offset by a negligible reduction in the service sector.

Jobs were added in the US, the Eurozone, China, the UK and Brazil. Staffing levels were unchanged in India, but fell for the fourth month running in Japan.

Average input prices rose for the fourteenth successive month in September. Moreover, the rate of inflation accelerated further from July's low to a four-month high. Manufacturing input prices rose at a faster rate than in August, whereas service sector cost inflation eased slightly over the month.

Commenting on the survey, David Hensley, Director of Global Economics Coordination at US bank JPMorgan, said: "The global recovery lost further traction in September, with business activity rising at the slowest pace in ten months. The activity index is pointing to a downshift in global GDP growth to somewhere in the region of 2.25% q/q saar (seasonally adjusted annual rate). The slowdown remains broad-based, with both manufacturers and service providers seeing weaker growth. The signs point to continued soft growth through year's end."

Related Articles
Related Articles

© Copyright 2010 by Finfacts.com

Top of Page

Global Economy
Latest Headlines
Strong Swiss franc gloom deepens for exporters
Global investors shift focus to China; EM outflows surge to $1tn in 13 months
Global oil glut will continue into 2016
Stable growth momentum in OECD area but slowing expected in China
Prices for major food commodities in July lowest since September 2009
Global manufacturing in July weakest level in two years
US, China and UK lead top 25 target countries for foreign direct investment
Budget surpluses rare in developed countries from 1980s; Italy, France, Greece had none in 60 and 40 years
Singapore, London and Shanghai top cities for new FDI projects in 2014; Dublin in 11th place
Exchange rates shuffle as Dublin ranked 49th most expensive city; Paris at 46; Berlin at 105
Western consumer groups under pressure in China and India
Developing countries facing “structural slowdown” likely to last for years
OECD BEPS Tax Project: Amazon books UK sales in UK; Australia proposes up to 100% in penalties
Emerging Markets Index falls to 12-month low in May as manufacturing contracts
US and world economies slowing in 2015 — OECD
Global manufacturing production rose slightly in May; Trade flows weak
GDP growth in OECD area slowed to 0.3% in the first quarter of 2015
Only one quarter of workers worldwide have stable employment contracts
Automatic Exchange of Tax Information: OECD says countries won't be able to game system
Gates Foundation loses in Swiss family's shares coup
Minimum wage levels in OECD countries
Brent oil benchmark over $68 a barrel - up almost 50% in 2015
Global growth slows and manufacturing dips to 21-month low
Family-controlled firms dominate European business
Top 10 of world’s 250 largest consumer products companies account for 30% of sales
Nine of world's 20 fastest growing economies in Africa
Globalisation maybe stalling as trade growth remains weak
Global growth prospects uneven across major economies says IMF
Emerging markets growth lowest since 2009; Global growth at 30-year average
China's economic rebalancing hitting Latin American economies
New York, London, HK & Singapore top global financial centres index; Dublin recovers
Global growth in modest expansion from low oil prices/ monetary easing says OECD
Composite leading indicators point to positive change in growth momentum in the Eurozone
Global labour market trends portend paradise for some but uncertainty for many workers
Vienna remains top of World Quality of Living Rankings in 2015; Dublin at 34
Zurich and Geneva overtake Singapore to become world's most expensive cities
HSBC Switzerland and Falciani: How it happened
Global economic power to continue shift from advanced economies
Global food price index falls in January; Cereal output set for record
Global debt has risen $57tn or 17% of world GDP since 2007