Russia: Manufacturing and Services PMI improve, but fall short of 50-threshold in June
July 3, 2014
The Markit HSBC manufacturing Purchasing Managers Index (PMI) inched up from 48.9 in May to 49.1 in June, which marks the highest print since November 2013. Despite the increase, the PMI index remained below the 50-threshold that separates contraction from expansion in business conditions.
According to Markit HSBC, June’s figure continues to indicate an, “overall deterioration in Russian manufacturing business conditions in June, extending the downturn to eight months.” Employment continued to fall and continuing high inflation rates kept the indicator from climbing over the 50-mark.
The services PMI increased markedly in June, although it is still below the 50-threshold. Nevertheless, the increase from 46.1 points in May to 49.8 points in June marked the highest level in four months and the index is now just shy of the 50-threshold.