October purchasing managers Index hits 18-month highs

The October HSBC purchasing managers ' index showed a turnaround in China's manufacturing sector, with HSBC's China manufacturing PMI index rising to 55.4 in October, its highest in 18 months.　　Qu Hongbin, HSBC's China chief economist, said the strong recovery in manufacturing was expected to continue and support strong economic growth in the four quarter. According to the survey, October China's manufacturing output continued to grow for the 7th consecutive month, the main reason for the increase in production is the growth of new orders.　　As new product development and domestic and foreign demand improved, the last 7 months, the volume of fresh orders continued to increase monthly, the October manufacturing of overseas orders for the 5th consecutive month to maintain the trend, and the increase since June 2007 the strongest. In addition, as the cost of inputs increased, manufacturing companies raised their prices for the 4th consecutive month, and manufacturers said the rising demand for global commodity markets continued to cause significant inflationary pressures, with prices of coal, cotton, crude oil and steel rising in October.