Contraction of Greek factory activity eases in December, but jobs cut - PMI
Reuters
Published Jan 02, 2017 09:17
Contraction of Greek factory activity eases in December, but jobs cut - PMI
ATHENS, Jan 2 (Reuters) - A downturn in Greek manufacturing slowed in December as declines in output and new orders eased, but companies cut jobs for the first time in seven months as backlogs of work shrank, a survey showed on Monday.
Markit's Purchasing Managers' Index (PMI) for manufacturing, which accounts for about 10 percent of the Greek economy, rose to a four-month high of 49.3 points last month from 48.3 in November. A reading below 50 denotes a contraction in activity.
Manufacturers saw a further decline in new orders, including from abroad. They cited softer demand and the instability of the country's financial sector, although the fall was the weakest
since September. "Firms struggled with a lack of work during the month, a result of weaker demand for Greek manufactured goods and lowered their workforce for the first time since May," said IHS Markit economist Samuel Agass.
"Overall, 2016 has been a challenging year for the sector which continues to remain well short of a full recovery. Firms will be hopeful that the new year can bring renewed growth but until consumption picks up the likelihood remains slim."
Faced with fewer workloads, companies cut their headcounts, although the pace of job shedding was slight, the survey showed. "Although the overall downturn eased to the weakest in four
months with output and new orders contracting at softer rates, the latest deterioration capped off the worst quarter of the year for Greek goods producers," Agass said.
Manufacturers faced a substantial increase in input costs in December, mainly linked to higher prices for steel, zinc and dairy products, forcing them to raise output prices for the first time in 70 months.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.