Mexican manufacturing sector remains subdued in August

Mexico manufacturing PMI data released by Markit on September 1st showed a marginal improvement in the operating conditions of the Mexican manufacturing sector during August. After accounting for seasonal factors, the headline PMI recorded a level of 50.9 in August, up from 50.6 in July. The index remained above the 50.0 mark for a thirty-fifth month in succession.

Details showed that positive growth in both new orders and employment more than offset a slight fall in output. The rate of growth in new order levels was the best recorded for three months, however, the pace of expansion was relatively underwhelming.

There was a net increase in staffing levels for the twenty-fifth month in succession, although the rate of expansion was again marginal. Input costs continued to rise sharply in August largely on account of unfavourable exchange rates.