The global economy continued to expand at the start of 2013, with output increasing in both the manufacturing and service sectors. At 53.3 in January, the Global All-Industry Output Index — produced by JPMorgan and Markit in association with ISM and IFPSM — signaled that global output has now risen throughout the past three-and-a-half years, albeit the latest increase had weakened since December.
The US remained the strongest performing economy overall in January, followed closely by India. However, the rate of expansion slowed sharply in the US, accounting for much of the slowdown seen at the headline global level. Encouragingly, the rate of increase in output (on average) picked up outside of the US. There were signs of a further growth acceleration in China, while the downturn in the Eurozone eased further. Japan returned to (marginal) growth.