Mexico: Manufacturing and non-manufacturing PMI readings remain soft in June
Latest reading: The Mexican Institute of Financial Executives (IMEF) Manufacturing Purchasing Managers’ Index (PMI) declined from 48.3 in May to 47.3 in June. The index remained below the 50.0 no-change threshold for a twenty-seventh consecutive month, indicating that manufacturing-sector operating conditions continued to deteriorate. New orders and output both declined, remaining in contractionary territory. The employment component improved slightly, but remained below the expansion threshold, pointing to continued weakness in manufacturing labor conditions. Delivery times and inventories also declined, with both components falling below the expansion threshold.
Meanwhile, the non-manufacturing PMI edged up from 48.8 in May to 49.0 in June, but remained below the expansion threshold and continued to point to weakness in services and commerce. New orders and output both declined further, remaining in contractionary territory and reflecting still-weak demand. Employment also fell, signaling deeper labor-market fragility.