There are signs of improvement

The swing factor in GDP is usually manufacturing so it is encouraging to see continuing signs of imp...

The swing factor in GDP is usually manufacturing so it is encouraging to see continuing signs of improvement across the world - such as the Chinese Purchasing Managers Index, Taiwanese exports and Japanese machine tool orders - as companies recover from the shutdown induced by the financial crisis. Forecasts for corporate profitability continue to edge down but we are reaching the nadir after an estimated peak to trough market move in excess of 40%. Within this overall number, a large differential exists between financials, where profits have been wiped out, and non-financials which are o...