Russia Service Sector PMI Growth At 25-Month Low … RTT
Russia Service Sector PMI Growth At 25-Month Low
Russia’s service sector activity expanded at the weakest pace in just over two years in June, survey data from IHS Markit showed Wednesday.
The services Purchasing Managers’ Index dropped to 52.3 in June from 54.1 in May.
Meanwhile, economists had expected the index to rise to 54.6.
However, any reading above 50 indicates expansion in the sector.
The composite output index, which covers both manufacturing and services, also declined to 52.0 in June from 53.4 in the preceding month.
New orders received by Russian service providers grew at the slowest rate since mid-2016.
As a result, backlogs contacted for the seventh consecutive month. Employment levels also decreased, the first such fall since December 2016.
On the price front, input cost inflation accelerated in June to the fastest since March 2015. Despite this, charges increased only modestly and at the weakest pace for four months amid difficult demand conditions.
Nonetheless, Russian services firms remained strongly optimistic towards the year-ahead outlook for output.
by RTTNews Staff Writer