Manufacturing PMI revs up in September

The country’s manufacturing sector activity improved in September amid gains in new orders, output and employment.

The Nikkei India Manufacturing Purchasing Managers’ Index strengthened slightly in September to 52.2, up from 51.7 in August, as sales rose from both domestic as well as foreign clients.

This is the 14th consecutive month that the manufacturing PMI remained above the 50-point mark. In PMI parlance, a print above 50 means expansion, while a score below that denotes contraction.

Meanwhile, price pressures intensified, as input costs rose the most since June. A strong US dollar and supply shortages had exacerbated high global prices for steel and fuel, the survey noted.

Amid rising price pressures, Reserve Bank of India governor Urjit Patel-headed Monetary Policy Committee will start deliberation on the fourth bi-monthly monetary policy for 2018-19 on October 3 and announce its decision on October 5.

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