On strengthening market conditions, India's manufacturing sector operations grew even more in November, with the largest growth in production and sales since February, according to a monthly survey released on Wednesday, December 1.
The seasonally adjusted IHS Markit India Manufacturing Purchasing Managers' Index (PMI) rose from 55.9 in October to 57.6 in November, indicating the sector's best performance in 10 months. Furthermore, the headline figure was significantly higher than the long-term average of 53.6.
Following three months of employment losses, the November figures indicated tentative signs of an increase in hiring activity. For the sixth month in a row, the October PMI statistics showed an improvement in overall operating conditions. A number above 50 indicates expansion, whereas a score below 50 indicates contraction.
"The Indian manufacturing industry continued to develop in November, with growth picking up and forward-looking indices generally pointing to further increases in the months ahead," said Pollyanna De Lima, IHS Markit's Economics Associate Director. Inflationary pressures, not probable fresh COVID-19 waves, are the main threat to the forecast, according to Lima.
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