Czech Republic: Manufacturing PMI rises marginally in December
January 2, 2020
The manufacturing Purchasing Managers’ Index (PMI), produced by IHS Markit, rose marginally to 43.6 in December from 43.5 in November, which had marked a four-month low. Thus, the index remained below the critical 50-mark separating contraction from expansion in activity in the manufacturing sector, where it has been for more than a year.
Despite the slight improvement, operating conditions in the manufacturing sector deteriorated sharply in December: Production decreased at a faster rate and marked thirteen consecutive months of contraction, while new orders continue to fall—although at a softer pace than in the previous month. In addition, manufacturers reduced their workforce numbers in December. On the price front, input prices fell for the second month running, while output prices rose amid a marginal increase in factory gate charges.