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Poland PMI April 2021

Poland: Manufacturing PMI drops in April

The IHS Markit manufacturing Purchasing Managers’ Index (PMI) came in at 53.7 in April, down from March’s 54.3, but still marked the second-highest reading since June 2018.Consequently, the index remained above the 50-threshold signaling an improvement in business conditions from the previous month.

In April, output increased for the third month straight, albeit only marginally amid supply shortages and staff absences due to Covid-19. Moreover, new orders rose only modestly and at a slower rate than in March, despite rising exports, hinting at softer domestic demand. Meanwhile, in an attempt to mitigate staff absences, firms raised employment for the eight consecutive month and at the fastest rate since June 2018. On the price front, input cost inflation hit a record-high in April, largely owing to increasing demand for inputs and supply bottlenecks, while output charges also rose at a record-rate as firms passed on costs to clients. Lastly, despite remaining positive, manufacturers’ sentiment hit a five-month low in April, reflecting worries over ongoing supply shortfalls.

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