AI Boosts Global Factory Activity Amid Inflation Pressures

Manufacturing activity across Europe and Asia expanded in September due to strong demand for goods, partly driven by the global AI spending boom.

The S&P Global Eurozone Manufacturing Purchasing Managers' Index (PMI) rose to 52.9, its highest level since May 2022, with growth broad-based across the bloc.

Germany's largest economy recorded solid growth while expansion was modest in France, Italy, and Spain.

In Asia, manufacturing in major exporters Japan, South Korea, and Taiwan also improved last month, benefiting from AI optimism.

South Korea saw factory activity grow at its biggest margin in four months as export demand grew at the fastest pace in 15.5 years.