The Polish manufacturing sector continued to shrink in March, and at a faster rate than in the previous month, data from a survey by Markit Economics and HSBC Bank showed Tuesday.
The seasonally adjusted purchasing managers' index for the manufacturing sector dropped to a 5-month low of 48 in March from 48.9 in February, indicating a further deterioration in operating conditions. An index reading below 50 indicates contraction, while one above suggests growth.
New business received by Polish manufacturers declined for the fourteenth successive month, though at a moderate pace, with new work from export markets falling at the fastest pace since November.
In line with the fall in new work, production declined for the eleventh straight month, and at the fastest pace since November 2012. Employment in the sector declined for the seventh month running, which marked the the longest sequence of job shedding in over three years.
Input prices fell for the seventh time in nine months in March, and at the fastest pace since June 2009, owing in part to reduced cost pressures to lower steel and food prices. At the same time, manufacturers cut their output prices for the eighth time in nine months in March.
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