...yet BRICs and Eurozone suffer a factory slump

Julian Harris
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NEW orders from factories in the Eurozone shrank at their fastest pace since mid-2009 last month, as weak manufacturing figures from across the world stoked fears of another recession.

Markit’s Eurozone manufacturing purchasing managers’ index (PMI) came in at 48.5 in September, down from 49 in August. All figures below 50 point to economic contraction. Only Germany recorded growth.

Elsewhere, slowdowns were recorded even in emerging economies such as India and Brazil. India’s manufacturing output recorded its biggest monthly decline since late 2008, going from robust growth to a near-stall in just five months.

Brazil’s manufacturing PMI fell to 45.5, slightly down from 46 the previous month.

Even in China, where factory activity typically rises in September, this year’s rise was smaller than average.