India: Manufacturing shows green shoots in November
Indian labourers carry wood sleepers to construct a temporary pontoon bridge over the River Ganges at Allahabad on November 27, 2012.
India's manufacturing sector provided some good news for economy watchers, posting its highest growth in five months this November, according to the HSBC India Manufacturing Purchasing Managers' Index (PMI).
The news comes amid concern about a slowdown in India's overall growth, following the release of data showing GDP growth of only 5.3 percent in the quarter ended September 30.
Morgan Stanley also boosted its growth forecast for India to 5.4 percent from 5.1 percent for fiscal 2013, according to MoneyControl.com.
According to the Indian Express, the uptick in manufacturing was driven by a strong pick up in new orders and improved purchasing activity.
The HSBC India Manufacturing Purchasing Managers' Index (PMI) – a measure of factory production — stood at 53.7 in November, up from 52.9 in October, indicating a further improvement in the health of the Indian manufacturing sector, the paper said.
Morgan Stanley said it raised its growth forecast after the July-September quarter beat its expectations, adding that it thinks non-agriculture GDP growth has hit bottom