Manufacturing drags down India's private sector activity in May: Flash PMI
Business Standard·- India's private sector activity is projected to have slowed slightly in May, with a decline in new orders, international sales, employment, and business activity, alongside rising input price inflation. - HSBC's flash India Composite Purchasing Managers’ Output Index (PMI) dropped to 58.1 from 58.2 in April, remaining above the growth threshold of 50 for 57 consecutive months. - The report indicates a moderation in manufacturing activity, particularly in output and new orders, with a significant softening in new export orders.India central bank governor says may need to act if inflation pressures deepen
Yahoo Finance·- The Reserve Bank of India's Governor Sanjay Malhotra indicated that monetary policy can overlook temporary supply shocks, but may intervene if inflation pressures become entrenched due to escalating oil prices from the Iran conflict. - He highlighted the need for potential fuel price increases and emphasized the importance of coordinating fiscal and monetary policies. - During the April monetary policy review, the RBI opted for a wait-and-see approach, advocating for flexibility and a cautious, data-driven strategy in uncertain conditions.