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Brazil PMI August 2018

Brazil: Manufacturing PMI rises further into expansionary territory in August

Conditions in Brazil’s manufacturing sector improved in August. The manufacturing Purchasing Managers’ Index (PMI) rose from 50.5 in July to 51.1 in August. As a result, the PMI lies above the crucial 50-threshold and in expansionary territory.

The uptick in the index was attributed to faster growth in output and new orders. That said, firms’ shed jobs in August and input cost inflation hit a 10-year high due to a weak real and higher commodity prices. Meanwhile, business confidence improved in August.

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