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Czech Republic PMI June 2019

Czech Republic: Manufacturing PMI drops to lowest level since July 2009

The manufacturing Purchasing Managers’ Index (PMI), produced by IHS Markit, fell from May’s 46.6 to 45.9 in June, marking the worst reading in one decade. Consequently, the index lies further below the critical 50-point mark separating expansion from contraction in activity in the manufacturing sector.

June’s reading reflected larger contractions in new orders and output. New orders from abroad fell at the fastest pace in over 10 years amid subdued external demand. Due to weak demand, manufacturers also reduced backlogs of work and shed jobs in June. On the price front, input cost inflation fell to a three-year low.

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