Greece: PMI falls into contractionary territory in July
August 1, 2016
The IHS Markit manufacturing Purchasing Managers’ Index (PMI) returned to contractionary territory in July, after posting the best result in over-two years in June. The PMI fell from 50.4 in June to 48.7 in July. As a result, the index lies below the 50-threshold that separates contraction from expansion in the manufacturing sector.
According to IHS Markit, July’s reading came on the back of falling output and a sharp decline in new orders. However, employment continued to be a bright spot in the survey and the rate of job creation was the highest in nine years. Port strikes continued to delay delivery times in July. IHS Markit analysts commented that, “with unfinished business still declining and stock levels being reduced further, the likelihood of growth occurring in the second-half of 2016 seems slim.”