Italy: Manufacturing PMI hits all-time high in April
The IHS Markit manufacturing Purchasing Managers’ Index (PMI) rose to 60.7 in April from March’s 59.8, marking the best reading on record. Consequently, the index moved further above the 50-threshold signaling a stronger improvement in business conditions from the previous month.
April’s upturn came on the back of faster expansions in both output and new orders. Production rose at the third-quickest rate on record, while new work increased at the fastest clip in over two decades amid improving demand dynamics. As a result, firms raised staff levels, with the rate of job creation the quickest since January 2018. On the price front, input cost inflation continued to rise in April, largely owing to higher transport costs, shortages and supply disruptions, while output charges increased at the fastest pace on record. Lastly, sentiment among manufacturers logged one of the strongest readings on record as firms turned more confident regarding the outlook for the coming twelve months amid hopes of a robust economic recovery.