MOSCOW: Russian manufacturing activity continued to expand in June, but it did so at the slowest pace in 11 months as growth in output and new orders slowed, a survey showed on Monday. The Markit purchasing managers’ index (PMI) headline reading fell to 50.3 last month from 52.4 in May, holding narrowly above the 50.0 mark that separates expansion from contraction. Economists are watching for clues as to the depth and breadth of economic recovery in Russia.
Industrial output data have been strong in recent months, but retail sales have stayed weak. “June’s PMI reading confirms that momentum has faded, which bodes ill for growth throughout the rest of the year,” said Sian Jones, economist at IHS Markit, which compiles the survey. The survey showed levels of employment and new export orders in the manufacturing sector fell. But business confidence remained strong, hitting a three-month high in June.
