India's PMI shows slowdown in manufacturing activity

The latest Purchasing Managers' Index (PMI) data compiled by Standard & Poor's Global and HSBC for India shows a slowdown in manufacturing expansion. The PMI index dropped from 59.2 in October to 56.6 in November. The growth rate of new export orders is the weakest in over a year, and the overall order volume growth rate has slowed to a nine-month low. HSBC's Chief Economist for India, Pranjul Bhandari, said, "Business confidence, measured by future output expectations, plummeted in November, possibly reflecting increasing concerns about the impact of tariffs." Bhandari added, "The boost from the reduction of goods and services tax may be weakening, and may not be enough to offset the adverse effects of tariffs on demand."