Italy PMI April 2018

Italy

Italy: Manufacturing sector again loses steam but continues to expand in April

May 2, 2018

The IHS Markit manufacturing Purchasing Managers’ Index (PMI) came in at 53.5 in April, below March’s 55.1 and the lowest reading since January 2017. The index nevertheless remained above the crucial 50-point threshold that separates expansion from contraction in the manufacturing sector, where it has been for 20 consecutive months.

April’s result came on the back of softening expansions in output and new orders. Growth in output and new orders was restrained by weaker domestic demand, while export sales continued to increase healthily. Backlogs of work decreased for the first time in a year, despite sustained pressure on manufacturing capacity, as companies continued to hire more staff—a trend that has been ongoing for the last three years. In terms of price developments, input costs rose again due to growing capacity bottlenecks, which translated into rising output prices. Lastly, optimism towards future production remained strong despite declining from the previous month, fueled by positive projections for sales and planned new product launches.

Paul Smith, Director at IHS Markit, commented:

“A third successive monthly fall in the headline PMI represents a clear turning point in growth since the start of the year and cannot simply be attributed to Q1’s weather-related disruptions. On the contrary, anecdotal evidence in recent months has pointed to global supply-side constraints as a factor limiting growth, and these issues in April were exacerbated by increased weakness in domestic market conditions.”

Italy Fixed Investment Forecast


FocusEconomics Consensus Forecast panelists see fixed investment growing 2.5% in 2018, which is unchanged from last month’s estimate. For 2019, the panel expects fixed investment to increase 2.1%.


Author: Massimo Bassetti, Economist

Sample Report

Looking for forecasts related to PMI in Italy? Download a sample report now.

Download

Italy PMI Chart


Italy PMI April 2018

Note: IHS Markit Purchasing Managers’ Index. Readings above 50 indicate an expansion in the manufacturing sector while readings below 50 point to a contraction.
Source: IHS Markit.


Italy Economic News

  • Italy: Consumer confidence continues to sink in April

    April 23, 2019

    The consumer confidence index released by the National Institute of Statistics (ISTAT) declined to 110.5 points in April from March’s 111.2 points, marking the worst result since July 2017. April’s deterioration was broad-based: the economic, personal, current, and future components, all lost ground.

    Read more

  • Italy: Business confidence close to four-year low in April

    April 23, 2019

    The National Institute of Statistics (Istat)’s composite business confidence indicator (Clima di Fiducia delle Imprese Italiane, IESE)—which covers the manufacturing, construction, market services and retail sectors—fell to 98.7 points in April from March’s revised 99.1 points (previously reported: 99.2 points), and moving closer to February’s four-year low of 98.2 points. April’s reading came mainly on the back of plunging sentiment in the retail sector, and was also affected by falling sentiment in the manufacturing and market services sectors, which more than offset stronger sentiment in the construction sector.

    Read more

  • Italy: Industrial production shows further signs of life in February

    April 10, 2019

    Industrial output rose 0.8% in February on a month-on-month, seasonally-adjusted basis, following January’s stronger 1.9% jump.

    Read more

  • Italy: Manufacturing sector in dire state in March

    April 1, 2019

    The IHS Markit manufacturing Purchasing Managers’ Index (PMI) dipped to 47.4 in March from February’s 47.7, marking the worst reading in close to six years.

    Read more

  • Italy: Inflation stable in March

    March 29, 2019

    According to provisional data released by the National Statistical Institute (ISTAT) on 29 March, consumer prices rose 0.3% month-on-month in March, following February’s 0.2% increase.

    Read more

More news

Search form