Record growth in industrial production
February 2, 2010
The recovery continues in French industry in January. For the sixth consecutive month, the PMI index rose buyers, displayed to 55.4 in early 2010 against 54.7 in December, according to Markit Economics. "The growth rate is increasing and reached its highest level in almost nine and a half years," notes the institute.
La France appears in the leading group within the eurozone, alongside Germany and Italy in particular. The PMI index for the area hit a high in January, to 52.4 against 51.6 in December. Spain, Ireland and Greece, however, remain behind, all three recording a decline in production.
Strong growth in new orders
In France, the rise in the PMI reflects the accelerated growth of production and new orders, the highest since November 2006.And this, both on the domestic market, the main engine of recovery, and export.
At the same time, higher purchase prices in the industry is growing and reached a highest level in sixteen months, Markit Economics notes guaranteed payday loans . The purchasing managers make these changes on the back of rising prices of raw materials like metals. Companies do not however affect the evolution of their rates due to competitive pressures. Sale prices are retreating on the same period, for the fifteenth consecutive month, according to Markit.
In this context, French companies continue to cut jobs. "A number of companies account for these job losses by policies to reduce costs," says Markit Economics. The pace of job destruction is still lower than previous months.In the eurozone, employment fell back also, but at a faster pace in December, the institute notes. Germany and Spain recorded the largest drops.
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