Indian manufacturing PMI on rise

By Sahika Olgun

ISTANBUL (AA) - The Purchasing Managers Index (PMI) in India's manufacturing sector recovered some ground lost in June, rising from 57.5 to 58.3, and the index was about five points above its long-run average.

Concurrently, firms raised employment at the fastest rate in more than 19 years of data collection, data provider S&P Global said in a statement on Monday.

HSBC economist Maitreyi Das said, "India's manufacturing sector came to a stronger footing in the June quarter.

"The headline manufacturing PMI rose by 0.8 percentage points in June, supported by higher new orders and growth in the manufacturing industry."

Although cost pressures declined in June compared to May, they were among the highest levels in the last two years, pushing selling prices up at the highest rate since May 2022.

While the performance of the consumer goods sector was particularly strong, the intermediate and investment goods categories also recorded significant gains, with firms stepping up to hire staff.

The rate of job creation was the strongest since 2005, while input price inflation remained one of the highest since Aug. 2022.