Austria: Manufacturing operating conditions improve for first time in five months in July
July 29, 2020
Manufacturing operating conditions in Austria improved in July for the first time since February—a month before the Covid-19 pandemic hit. The UniCredit Bank Austria Manufacturing Purchasing Managers’ Index (PMI) came in at 52.8 in July from 46.5 in June. Consequently, the headline figure moved above the neutral 50-threshold that indicates an overall increase compared to the previous month.
July’s reading reflected strong gains in output and new orders, as restrictive measures were lifted. Improved domestic demand particularly drove new orders growth, as new export sales declined for the sixth month running. Moreover, backlogs of work increased for the first time since February due to the strong rise in new business. That said, jobs continued to be shed, albeit at a much softer pace.