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mpc: 13 Growth in 2004 Q4 seemed likely to pick up to around trend. The Chartered Institute of Purchasing and Supply (CIPS) PMIs for manufacturing and services in October had pointed to continuing growth, with new orders balances rising in both surveys. Other business surveys suggested a more mixed outlook but, overall, they were consistent with continued moderate expansion. On the one hand, indicators of business confidence had deteriorated. In manufacturing, this might have reflected the pressure of rising input costs on expected profitability rather than falling demand. It was possible that weaker confidence could lead to a postponement of investment and manufacturers' reported investment intentions had fallen in the CBI Quarterly Industrial Trends Survey. On the other hand, reports from the Bank's Agents had suggested that investment intentions remained fairly firm. Business investment still seemed likely to grow at a brisk pace given capacity constraints and increased corporate profitability in 2004. Corporate borrowing had picked up recently, which might have been linked to financing of investment plans.