France’s January factory activity recovers not as strongly as forecast -PMI According to Reuters
© Reuters. FILE PHOTO: Stellantis employees work on the assembly line for the e-DCT electrified vehicle automatic transmission at the Stellantis car factory in Metz, France, June 29, 2022. REUTERS/Gilles Guillaume/File Photo
PARIS (Reuters) – France’s manufacturing activity rebound in January was not as strong as initially forecast, a survey showed on Wednesday, as new orders remained weak.
The final S&P Global (NYSE:NYSE) Purchasing Managers’ Index (PMI) for January rose to 50.5 points, up from its final figure of 49.2 in December, but well below the “” flash” preliminary is 50.8.
Any number above 50 indicates expanding activity, while below that indicates contraction.
“We’re starting to see more evidence that the worst of the manufacturing downturn is behind us. Although demand and production levels are still falling, the pace of decline is modest and mild. markedly better than in the second half of last year,” said S&P Global Market Intelligence senior economist Joe Hayes.
“However, survey respondents continue to comment on customer drops, a factor that continues to reduce new orders,” Hayes added.
France’s preliminary fourth-quarter gross domestic product figures this week showed growth of 0.1%, but economists say there is still a risk of a recession.