The global manufacturing sector expanded at a faster pace in July, an indicator based on national surveys of manufacturers showed on Monday. The global purchasing managers' index (PMI), produced by J.P. Morgan together with research and supply management organisations, rose to 57.3 in July from June's 56.6.
The index, which combines survey data from around 20 countries including the United States, Japan, Germany, France and Britain, remained well above the key 50 watermark which separates growth and contraction.
"The global manufacturing economy maintained near-survey record growth of production and new business in July," said David Hensley, director of global economics at J.P. Morgan.
The new orders index climbed to a three-month high of 59.5 from June's 57.2, whilst the output index rose to 60.1 from 58.4.
The employment index slipped to 52.7 from 53.2 the previous month, but showed companies expanding their workforces for the eighth consecutive month to meet increasing demand for goods.
The input prices index edged lower to 71.1 from 72.0, as the pace of raw material price rises slowed a little.
Stronger demand at home and abroad helped boost manufacturing in the euro zone, Britain, Japan and the United States, national surveys showed.
In the United States, the Institute for Supply Management's manufacturing index rose to 62.0 in July from 61.1 - bang in line with forecasts.
Britain's manufacturing sector expanded at its fastest pace in 10 years, with the headline index rising to 56.3 from an upwardly revised 55.0 in June.
The Japanese PMI, which was released on Friday, also showed a pick up in growth, despite the rising cost of raw materials such as oil and steel. The index rose 1.1 points to 55.4 in July, bumped up by increasing demand from other Asian countries as well as from domestic consumers.
The euro zone index edged up to 54.7, matching May's 43-month high, as output and new orders rose at their fastest rate in nearly four years and manufacturers were able to pass on some of the rises in raw materials onto their customers.
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