Greece: Manufacturing PMI rises in August
The IHS Markit manufacturing Purchasing Managers’ Index (PMI) edged up to 53.9 points in August from July’s 53.5 points. The index thus moved further above the critical 50-point threshold that separates expansion from contraction in business conditions in the manufacturing sector, where it has been for 15 months.
Stronger output growth and an acceleration in new orders were chiefly behind August’s improvement. Both domestic and foreign client demand remained solid, while the rate of job creation picked up from the previous month. Meanwhile, backlogs fell slightly in August. Lastly, inflationary pressures softened to a three-month low in August, despite higher raw material prices.
Regarding August’s PMI reading, Sian Jones, economist at IHS Markit, commented:
“The Greek manufacturing sector continued to signal a solid improvement in operating conditions. […] Looking ahead, panelists were confident of a rise in output over the coming year. Positive sentiment was driven by stronger domestic and foreign demand.”