Czech Republic: Manufacturing PMI drops to the lowest level in nearly a year
September 1, 2014
The manufacturing Purchasing Managers’ Index (PMI), elaborated by HSBC in collaboration with Markit, fell to 54.3 in August, which marked the weakest reading since September 2013. The result was a deterioration from the 56.5 registered in July, which had marked the lowest level in six months. The manufacturing PMI has hovered above the 50-threshold since May 2013, indicating strong growth in the manufacturing sector.
August’s result came on the back of falling output, stock of purchases and employment. However, according to HSBC/Markit, “a positive point in the August survey is a relative moderate fall in new orders index even as export orders declined more strongly.” In addition, in August, output prices continued to show positive growth. HSBC/Markit also pointed out that, “the focus in the near term will remain on the signals coming from the Eurozone and Germany in particular.”
Author: Dirina Mançellari, Senior Economist