India Manufacturing PMI Slows

The Nikkei India manufacturing purchasing managers’ index dropped to a near eight-and-a-half year low of 47.9 in July from 50.9 in June, Indiainfonline reported. A reading above 50 indicates economic expansion, while one below 50 points toward contraction. “Manufacturing growth in India came to a halt in July, with the PMI down to its lowest mark in almost eight-and-a-half years amid widespread reports that the sector has been adversely affected by the implementation of the goods and services tax,” said Pollyanna De Lima, principal economist at IHS Markit, which compiles the survey. “The downturn was broad-based across all subsectors covered by the survey, with output scaled back among firms in the consumer, intermediate and investment goods categories amid falling order books,” the economist said.