Manufacturing PMI Indices remain in contraction teritory

Manufacturing PMI Indices remain in the contraction zone in most of the CEE countries. The only exception is Hungary, where locally calculated PMI Index went up to 50.3 in November. In contrary, PMI index declined slightly in Czechia, Romania and Poland to 46, 48 and 48.9 respectively. In Romania, faster decreases in output and new orders were signaled in November. In Poland, the fastest decline in new orders in three months was the reason behind the fall of production. In Czechia, in response to lower new orders, companies were cutting input buying and reducing their stock levels. The worsening sentiment in the manufacturing sector goes hand in hand with the development of the Economic Sentiment Indicator that, on average in the region, is the weakest since the beginning of the year. Overall, weak domestic and external demand conditions weighed on the pace of recovery.