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Global economy to expand at solid pace in Q4: PMI

[LONDON] The global economy will expand at a solid pace in the final quarter, albeit less strongly than during the summer months after inflows of new business slowed in November, a survey showed on Wednesday.

JPMorgan's Global All-Industry Output Index, produced with Markit, fell to a seven-month low of 53.2 from October's 53.5 but has now held above the 50 mark that divides growth from contraction for more than two years.

"November saw global economic growth continue its gradual slowdown from the highs of the middle of the year," said David Hensley, a director at JPMorgan.

"The survey therefore implies that global GDP (gross domestic product) will expand at a solid pace over the final quarter as a whole, albeit cooler than during the summer months."

A global PMI covering the services industry dipped to its own seven-month low of 53.5 from 53.6.

Global manufacturing activity expanded at its weakest pace in over a year in November, a sister survey showed on Monday.

The index combines survey data from countries including the United States, Japan, Germany, France, Britain, China and Russia.