Czech Republic: Manufacturing PMI falls further in October
The S&P Global Manufacturing Purchasing Managers’ Index (PMI) fell from 44.7 in September to 41.7 in October, marking the lowest value since May 2020. Consequently, the index moved further below the critical 50 threshold that separates an expansion from a contraction in manufacturing sector activity compared to the prior month.
October’s reading chiefly reflected sharper falls in output and new orders, amid contracting domestic and external demand. Meanwhile, backlogs of work decreased notably, while companies reduced their payroll numbers. On the price front, the pace of increase in input costs accelerated, although output charges rose at the slowest pace since April 2021. Lastly, business sentiment fell further due to higher costs, declining customer purchasing power and weak demand.