Brazil: Manufacturing PMI rises in October
November 2, 2018
Conditions in Brazil’s manufacturing sector improved at the start of the fourth quarter. The manufacturing Purchasing Managers’ Index (PMI) rose to 51.1 from September’s 50.9. 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 a rise in employment, which grew at the fastest pace since March. However, new export orders fell, partly due to challenging economic conditions in key trading partner Argentina, and business sentiment dropped to a three-month low. Meanwhile, input cost inflation eased somewhat since September’s record high but still remained elevated due to a weak real.
Brazil Industrial Production Forecast
The analysts surveyed by FocusEconomics for this month’s LatinFocus Consensus Forecast see industrial production growing 3.5% in 2019, which is unchanged from last month's estimate. In 2020, industrial output is expected to grow 3.4%.