Israel: Business activity in manufacturing sectors continues to fall in February
Business activity in Israel’s manufacturing sector continued to decrease in February, albeit at a softer pace than in January. The Purchasing Managers’ Index (PMI), produced by Bank Hapoalim and the Israeli Purchasing & Logistics Managers Association (IPLMA), rose from 47.9 in January to 49.6 and consequently remained below the neutral 50-point mark separating contraction from expansion in the manufacturing sector.
The change in the headline figure was driven by a rebound in domestic and foreign demand, which subsequently led to stronger growth in output and a slight tick up in employment. However, the rise in the index was held back by a drop in stocks of finished goods and purchasing activity.