India’s manufacturing PMI for June declines

MUMBAI, July 1– India’s manufacturing Purchasing Managers’ Index weakened to 53.9 in June from 54.6 in the preceding month of May. The June PMI displayed the weakest pace of growth since last September, said a statement on Friday by S&P Global which compiles the monthly index. “There was a broad-based slowdown in growth across a number of measures such as factory…

MUMBAI, July 1 (Xinhua) — India’s manufacturing Purchasing Managers’ Index (PMI) weakened to 53.9 in June from 54.6 in the preceding month of May.

The June PMI displayed the weakest pace of growth since last September, said a statement on Friday by S&P Global which compiles the monthly index.

“There was a broad-based slowdown in growth across a number of measures such as factory orders, production, exports, input buying and employment as clients and businesses restricted spending amid elevated inflation,” said Pollyanna De Lima, economics associate director at S&P Global Market Intelligence.

Factory orders and production rose for the 12th straight month in June, but in both cases the rates of expansion eased to nine-month lows, the statement said.

Increases were commonly attributed to stronger client demand, although some survey participants indicated that growth was restricted by acute inflationary pressures.

June data indicated that rates of purchase price and output charge inflation retreated to three-month lows, but remained above their respective long-run averages, the statement said.

“There was positive news regarding supply chains, with the latest results showing the first shortening of input lead times since the onset of COVID-19. This seemed to have curbed the upward pressure on input costs, with purchase prices and output charges increasing at sharp but slower rates during June,” De Lima said.

Companies nevertheless remained very concerned about inflation, a key factor that dragged down business confidence to a 27-month low, she added.

Employment in India rose for the fourth successive month, albeit at a slight pace that was broadly in line with those seen over this period. Job creation restricted backlog growth, which increased at a marginal pace that was the slowest in three months, the S&P Global statement said. Enditem