Latest news with #FlashPurchasingManagers'Index
India Gazette
23-06-2025
- Business
- India Gazette
HSBC Flash India composite output Index climbs to 14-month high
Mumbai (Maharashtra) [India], June 23 (ANI): The HSBC Flash India Composite Output Index, which tracks month-on-month changes in combined output from manufacturing and services, rose to 61.0 in June from 59.3 in May - the highest in 14 months and well above the long-term average. Indian businesses recorded a sharp rise in export orders in June, marking the strongest upturn since records began in 2014, according to the latest HSBC Flash Purchasing Managers' Index (PMI) data. The data shows strong momentum in both manufacturing and services, with companies scaling up output to meet rising domestic and international demand. Pranjul Bhandari, Chief India Economist at HSBC, said, 'India's flash PMI indicated strong growth in June. New export orders continued to fuel private sector business activity, especially in manufacturing. Meanwhile, the combination of robust global demand and rising backlogs prompted manufacturers to increase hiring.' Bhandari added, 'Employment growth is also healthy in the services sector despite slightly weakening on a sequential basis from May to June. Finally, input and output prices continued to rise for both manufacturing and services firms, but rates of increase showed signs of softening.' Manufacturing led the growth, with the Manufacturing PMI Output Index climbing to 61.5 in June from 60.3 in May. The overall Manufacturing PMI rose to 58.4, its best level since April 2024, signalling improved operating conditions. Service sector activity also picked up, supported by rising demand, efficiency improvements, and technology investments. Companies saw a significant increase in new business, particularly in exports. Survey respondents noted strong international demand from regions including Asia, Europe, the Middle East, and the Americas. While manufacturing exports surged, service sector exports also rose, though at a slower pace. As backlogs of work continued to grow - now for the 42nd consecutive month - businesses responded by hiring more staff, including both permanent and temporary workers. Employment in manufacturing hit a record high, while hiring in services was slower than in May. Despite higher demand, cost pressures eased, with input prices rising at their slowest pace in ten months. Companies cited modest increases in labour and metal prices, but the overall rate of cost inflation remained below the long-term average. Selling prices for goods and services continued to rise, but at a slower pace than in May, as many firms avoided passing on costs to attract more business. Looking ahead, Indian firms remain optimistic about the future, although overall business confidence dipped slightly to a two-year low. Manufacturers showed slightly stronger optimism, while sentiment among service providers was more cautious. (ANI)
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Business Standard
29-05-2025
- Business
- Business Standard
Asia leads air cargo recovery with 10% growth as global demand soars
Air cargo is flying high again, with Asia leading the charge. According to data from the International Air Transport Association (IATA), global air freight demand surged 5.8 per cent year-on-year in April 2025, with Asia-Pacific carriers delivering a standout performance at 10 per cent growth. The rise was driven by seasonal shipping of fashion and consumer goods — some of it front-loaded ahead of US tariff changes — and a 21.2 per cent drop in jet fuel prices over the past year. Asia-Pacific leads recovery Asia-Pacific carriers posted a 10 per cent year-on-year increase in demand, with capacity up 9.4 per cent. This reflects strong intra-regional trade and continued resilience on Europe-Asia routes, which grew 11.3 per cent in April — marking 26 consecutive months of expansion. India's exporters could benefit from this momentum. In April, India's Flash Purchasing Managers' Index (PMI) climbed to 60.0, up from 59.5 in March, the strongest pace of growth in eight months. The uptick was driven by strong international demand for services and manufactured goods, with new export orders growing at their fastest pace since September 2014. Regional trends in air cargo Latin American airlines saw the highest growth at 10.1 per cent, while North American carriers posted a 4.2 per cent increase. European carriers recorded a more modest 2.9 per cent rise, while West Asian airlines saw the slowest growth at 2.3 per cent. 'Air cargo demand grew strongly in April, building on March's solid performance,' said Willie Walsh, IATA's Director General. 'While the outlook is encouraging, global trade stresses and shifting policies, especially in the US, will require airlines to stay flexible in the coming months.' Mixed trends in trade lanes IATA noted that all international trade routes except for West Asia-Europe, Africa-Asia, and intra-European routes recorded growth. Europe-Asia routes saw an 11.3 per cent surge, continuing the 26-month growth streak. In contrast, Africa-Asia traffic fell by 7.9 per cent, and intra-European cargo declined by 8.8 per cent. Industry outlook: Cautious optimism Air cargo capacity rose 6.3 per cent from last year, while freight rates showed signs of improvement. Jet fuel prices have declined for three straight months, with a 4.1 per cent drop in April alone. The global manufacturing PMI ticked up to 50.5, signalling modest expansion, though the new export orders index slipped to 47.2, below the threshold for growth.
