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Financial News: Russia's Manufacturing Growth Slows In August

Russia's Manufacturing Growth Slows In August

09/01/2017 - 02:36:00 (RTTNews)

(RTTNews) - Russia's manufacturing activity expanded at a slower pace in August, data from IHS Markit showed Friday.

The factory Purchasing Managers' Index fell to 51.6 in August from 52.7 in July. However, a score above 50 indicates expansion in the sector.

Rates of expansion in output and new orders both eased from July. Nonetheless, the upturn in output was due to a greater volume of new orders, survey showed.

Russian goods producers reported a sixth consecutive month of decreasing workforce numbers in August. Lower headcounts partly contributed to a rise in backlogs for the fourth straight month.

August survey data signaled an extension to the current trend of input price inflation which stretches back to February 2009. Panelists also noted that a rise in average prices charged was caused by higher input prices.

Industrial production is forecast to rise by 2.9 percent in 2017, Sian Jones, an economist at IHS Markit, said.

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