Czech PMI remained in decline in October

Czech PMI remained in decline in October

The Czech PMI is still in decline. / bne IntelliNews

By bne IntelliNews November 2, 2023

The seasonally adjusted Czech Republic Manufacturing Purchasing Managers’ Index (PMI) posted 42.0 in October, still indicating a monthly deterioration.

The September figure is slightly better from 41.7 in September but remains well below the 50 mark, separating growth and decline, and the downturn was among the steepest this year.

“The Czech manufacturing sector saw little change in the landscape during October, as output, new orders and employment contracted further,” commented Sian Jones, principal economist at S&P Global Market Intelligence.

“Employment was cut at the second-fastest pace since the initial stages of the pandemic,” Jones pointed out, adding that “firms downgraded optimism to the lowest in 2023 to date” amid “weak domestic and foreign client demand.”

S&P report also noted that new sales fell at one of the sharpest rates in three-and-a-half years and that operating expenses declined for the eighth month in a row.

Producers reduced their selling prices in response to a drop in costs, including decreasing energy and material expenses. Output charges fell at the quickest rate since June 2009, S&P pointed out.

Jones projected Czech National Bank (CNB) “to begin cutting interest rates at their November meeting amid downward pressure on prices.”

Open PDF View PDF

#CZECHIA #macro #PMI

Read in IntelliNews Pro

Get IntelliNews Pro

Related Content

VISEGRAD BLOG: Is illiberalism here to stay in Central Europe?

MOL warns of fuel delivery disruptions to Czechia

Central and Southeastern Europe defies German economic weakness

VISEGRAD BLOG: Is illiberalism here to stay in Central Europe?

MOL warns of fuel delivery disruptions to Czechia

Central and Southeastern Europe defies German economic weakness

Data

Philippines achieves record $3.5bn surplus as economy rebounds

The Philippines has reported its largest dollar surplus in nearly four years, highlighting a remarkable recovery in its balance of payments.

Central Asian states make progress in addressing hunger

Tajikistan remains a country of concern.

Declining rice prices signal stable inflation ahead for the Philippines

Metrobank Research has projected that declining rice prices will help maintain inflation at a stable 2% for the remainder of the year, enabling the Bangko Sentral ng Pilipinas to consider further interest rate cuts to support economic growth

Turkey sticks with 50% policy rate for seventh straight month

Uncertainty over the pace of improvement in inflation has increased in light of incoming data, says central bank.

Polish core inflation growth rate jumps to 4.3% y/y in September

The acceleration comes after two months of easing and is in line with the headline inflation rate.

Philippines achieves record $3.5bn surplus as economy rebounds

Central Asian states make progress in addressing hunger

Declining rice prices signal stable inflation ahead for the Philippines

Turkey sticks with 50% policy rate for seventh straight month

Polish core inflation growth rate jumps to 4.3% y/y in September

Dismiss

Chat with usLiveChat