A gauge of activity across India’s manufacturing sector jumped to the highest in more than a decade as sales continued to surge.
The IHS Markit India Manufacturing Purchasing Managers’ Index rose to 58.9 in October 2020—the highest since mid-2008—from 56.8 in September. A reading over 50 indicates economic expansion.
New orders and output at Indian manufacturers continued to recover from the Covid-19-induced contractions seen earlier in the year, with PMI results for October highlighting historically sharp monthly rates of expansion, said Pollyanna De Lima, economics associate director at IHS Markit.
The ongoing relaxation of Covid-19 restrictions, better market conditions and improved demand helped manufacturers secure new work in October. In response to strong sales gains and softer containment measures, firms lifted production at the strongest pace recorded since late-2007,…