Spain: Manufacturing PMI rises to 8-month high in January
February 1, 2016
The Markit Spain Manufacturing PMI signaled a strong start to 2016, rising from December’s 53.0 to 55.4 in January. January’s figure marked the best result in eight months. As a result, the index lies further above the 50-threshold that separates expansion from contraction in the manufacturing sector.
According to Markit, the result came on a sharp acceleration in new orders, which rose at the fastest pace since February 2007. In addition, growth in employment and output picked up pace. Input prices fell at the fastest pace since July 2009 against a backdrop of low oil prices and declines in the costs of steel and other raw materials. Markit analysts commented,” the Spanish manufacturing sector shrugged off uncertainty surrounding the make-up of the next government in January, posting a strong start to 2016. One key highlight was the fastest rise in new business since prior to the economic crisis, while efforts to increase stock holdings point to confidence in the near-term outlook for orders.”