The Markit Economics preliminary index of U.S. manufacturing decreased to 51.1 in October from a final reading of 52.8 at the end of the previous month, the London-based group said today.
The median forecast in a Bloomberg survey of 17 economists called for a drop to 52.5, with estimates ranging from 50 to 54. A reading greater than 50 for the purchasing managers’ figure corresponds to expansion.
The Markit purchasers’ measure is based on replies from 85 percent to 90 percent of companies in a poll of more than 600 American manufacturers.
China’s manufacturing strengthened more than forecast this month, a sign the recovery is gaining momentum even as leaders struggle with surging home prices and local-government debt. The preliminary 50.9 reading for a Purchasing Managers’ Index released today by HSBC Holdings Plc and Markit Economics compared with a 50.4 median estimate from analysts surveyed by Bloomberg.
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