FTSE rises as UK manufacturing edges higher

<p>The FTSE 100 has made gains as the manufacturing activity continued to grow in January.</p>

The FTSE 100 has made gains today (February 1st) after a UK manufacturing survey showed the sector's activity has advanced.

According to the country's official purchasing managers' index (PMI) from Markit, January's output was still growing, but the industry has experienced a marginal slowdown compared to December.

PMIs work in such a way that readings higher than 50 indicate expansion, so January's reading of 50.8 indicates manufacturing activity is growing, but as a slower place than January, which had a reading of 51.2.

Rob Dobson of Markit stated: "A second consecutive month of improving business conditions in the manufacturing sector is an encouraging start to 2013."

The PMI's manufacturing reading has been stuck at around the 50 mark since summer 2011, indicating the state of stagnation the UK economy is in.

At 12:00 GMT today, the FTSE 100 rose by 0.4 per cent to an index value of 6305.8 points.

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