Bangalore, July 2 (): PMI report by HSBC show that across Asia the production activity and hiring fell while India recorded a seven month high despite dwindling export orders.
Purchasing Managers’ Index (PMI) surveys are compiled by Markit Group and the Institute for Supply Management conducted on a monthly basis by polling businesses that represent the outlook of the respective sector. The surveys cover only private sector companies, but not the public sector.
Report says China and Japan along with South Korea and Taiwan witnessed a factory slump. Dwindling orders from abroad slowed the activity to seven-month lows, showing that the health of the global economy is deteriorating.
In India, where the economy is more dependent on domestic activity factories in June stepped up production and hired more workers at a rate not seen in more than two years, but it was bogged down by low demand abroad and took a toll on growth in new export orders.
HSBC manufacturing Purchasing Managers’ Index (PMI) kept India above the 50 mark that divides growth and contraction for more than three years. It rose to 55.0 in June, a four-month high, from 54.8 in May.
The employment sub-index in private sector was at 52.4 in June, the highest level since May 2010. China’s economy private purchasing managers’ index (PMI) shows factory activity dropped at its fastest pace in the past seven months in June. China is struggling came a report on Monday with a private purchasing managers’ index (PMI) showing factory activity dropped at its fastest pace in seven months in June. From May 48.4 the index slipped to 48.2.
PMI suggests that the weak data shows that no immediate pick-up for China, the world’s second-biggest economy. So is the case with that of Japan which produces home to big-brand exporters, including camera and printer maker Canon Inc, which earns the country about 80 per cent of its revenues from abroad.