A Tale of Two Factories: Diverging Paths for U.K. and European Manufacturing

European manufacturing activity held at its fastest pace in more than six years, according to a benchmark survey, suggesting the region's economy will continue to expand into the second half of the year and that European stocks could outpace gains in the United States.

IHS Markit's final Manufacturing sector PMI reading for June was measured at 57.4, the highest since April 2011 and marginally ahead of the flash estimate of 57.3 and the May reading of 57.0. The survey also showed that the pace of job creation in the sector, which provides the lion's share of employment for the broader economy, remains close to a two-decade high.