US manufacturing rebounds in January

Manufacturing sentiment in the US rebounded in January from a 38-month low the previous month, according to figures released on Friday.

Markit’s flash manufacturing purchasing managers’ index increased to 52.7 from December’s 51.2, beating economists’ expectations for a reading of 51.1.

Markit’s chief economist, Chris Williamson, said: “The US manufacturing sector found a new lease of life at the start of the year, with growth of factory output and orders both picking up after the slowdown seen late last year.

“Producers appear to have shrugged off worries about China, helped by export orders showing signs of reviving. It looks like weak demand from China is being offset by improved demand for USproduced goods in other markets.”