In January, the HSBC Purchasing Managers' Index (PMI) rose for the first time since October, and posted the third-steepest one-month gain in the survey's history to 52.2pts, from 48.8pts. Analysts expected the figure at 49.4-49.6pts.

The January outcome signaled an overall improvement in the business climate for the first time in three months, Markit noted. Having worsened towards the end of last year, business conditions improved at the strongest overall rate in six months in the latest period. Markit notes that this mainly reflected an increase in new orders, which in turn generated faster production growth and halted the decline in employment initiated one month previously.

Inflationary pressures built up, with input and output prices rising at the fastest rates in nine and five months, respectively.