Austerity Winning In Britain, Manufacturing Sector Surges Forward

U.K. Manufacturing

The UK’s October PMI showed strong signs of growth for the country’s manufacturing sector, with export orders shooting up in the month, according to The Guardian.

The Markit index for PMI rose to 54.9, an increase of September.

The UK has arguably been the country most aggressive in terms of its austerity budget, though many of the cuts planned by the Coalition government have yet to take place.

While fiscal stimulus is now out of the question in the UK, the option for monetary stimulus remains. This bullish PMI number on UK manufacturing may stop the Bank of England from entering into another round of quantitative easing, however.

Check out what the UK’s austerity budget would look like in the U.S. >

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