The UK's manufacturing expansion in October was twice as high as economists expected, indicating that the UK's economy remained in the fourth quarter.

On December 7, 2010, data released by the National Bureau of Statistics showed that UK manufacturing output rose by 0.6% in October from the previous month, the largest increase in seven months. The median estimate of 23 economists surveyed by Bloomberg earlier was 0.3%. Compared with the same period in 2009, UK manufacturing output increased by 5.8% in August.

The UK's factory production in October has been growing for the sixth consecutive month. Of the 13 sectors in the UK manufacturing sector, 8 achieved growth and 2 declined. Among them, transportation equipment production increased the most, and food, beverage and tobacco production fell the most. Capital goods output increased by 1.8%, and engineering and related manufacturing increased by 2%. Durable consumer goods production fell 1.3%.

Statistics also show that in October, overall industrial production in the UK, including utilities, mining, quarrying, etc., increased by 3.3%. Among them, the mining and quarrying industry fell by 4.2% from the previous month, the largest decline since June; oil and natural gas production fell by 4.2%.

David Tinsley, an economist at the National Australia Bank in London and a former Bank of England official, said in a telephone interview: "This is a very good set of data. The basic driving force for the UK's economic growth is quite stable. The GDP in the fourth quarter is more favorable."

The UK currently relies mainly on exports and investment to maintain economic growth. To address the record fiscal deficit, the UK government is prepared to accelerate the pace of public spending cuts and increase VAT. The Bank of England is expected to announce this week that it will maintain a 200 billion pound bond purchase size.

In addition, recent data shows that the UK economy has continued its recovery in the second and third quarters after the fastest growth in 20 years. A report released by research firm Markit Economics and the Royal Institute of Purchasing and Supply said that the UK's manufacturing purchasing managers' index rose to 58 in November from 55.4 in October, a 16-year period, due to the weakening of the pound driving the export demand for British goods. The biggest increase.

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