Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Market / Mark-to-market/  India’s composite PMI at six-month low, reflected in market fall
BackBack

India’s composite PMI at six-month low, reflected in market fall

The Sensex has fallen 4% in the past six months, closely following the trend in the composite PMI

Graphic by Prajakta Patil/MintPremium
Graphic by Prajakta Patil/Mint

The HSBC India Composite Purchasing Managers’ Index (PMI) that gauges private sector activity fell to a six-month low of 52.5 in April as demand remained soft, indicating that expectations from the change of guard at the Centre are waning.

The composite index includes both manufacturing and services activity. Even the markets are mirroring the weak demand trends, as the Sensex has fallen 4% in the past six months, closely following the trend in the composite PMI.

That indicates the market is now closely following economic fundamentals. Earnings growth so far has failed to materialize as activity on the ground remains subdued.

“Accompanying the subdued outlook in the opening month of the fiscal year was a return to job shedding as companies maintained a cost-cautious approach," said Pollyanna De Lima, economist at HSBC Markit.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 06 May 2015, 12:23 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App