Brazil: Manufacturing PMI sinks to four-month low in July
August 2, 2017
Conditions in Brazil’s manufacturing sector deteriorated slightly in July. The Markit manufacturing Purchasing Managers’ Index (PMI) fell from 50.5 in June to 50.0 in July. As a result, the PMI lies on the crucial 50-threshold that separates expansion from contraction in business conditions in the manufacturing sector.
According to IHS Markit, the moderation reflected soft rises in output and new orders, which both pointed to still-challenging economic conditions. Widespread job losses were seen, although the pace of cuts moderated slightly, and buying levels fell for a second consecutive month. In an effort to stimulate purchases, firms cut their prices for the first time in nearly three years.