The Purchasing Managers’ Index (PMI) in the Czech Republic dropped to
54.9 points in August from 55.2 in July, according to financial services
company Markit. Although the August figure is the lowest in a year, it
still indicates improving conditions in the manufacturing industry, albeit
at a slower pace.
According to Markit, the PMI drop stems from weaker growth in production
and new orders. Inflationary pressures remain high, with input price growth
the second-highest since the end of 2017, mainly due to higher raw material
prices, especially steel, as well as exchange rate developments.
August's value is below the average of the last year, but is still
solidly above the 50-point base level, and still just slightly below the
4-year average.