The latest Business Outlook survey compiled by research firm Markit Economics on behalf of KPMG International, shows that business confidence has come surging back across virtually all geographies and industries.
The latest figures – which reflect confidence in expected performance over the next 12 months – suggest that recent signs of economic improvement are no flash in the pan and that a global recovery could now be well under way.
The survey findings show confidence in future business activity running at +42.9 in manufacturing and +46.5 in services.
For the US and the BRIC economies, those figures rise to +54 and +54.1 respectively in manufacturing and +65.6 and +51.9 respectively in services. Similar numbers are posted for confidence around future new orders and business revenues. Despite all the cost pressures, even confidence around improved profits stands at +32.1 globally for manufacturing and +36.2 for services.
Prospects for increased employment in 12 months’ time are slightly less rosy – at +7.8 for manufacturing and +16.9 for services – suggesting that the recovery has some way still to run before all companies start thinking about full recruitment once more.
Is this renewed confidence premature or is it an accurate indication of the forthcoming recovery?
Let us know what you think.
