FX.co ★ Polish Factory Downturn Softens Further

Poland's S&P Global Manufacturing PMI increased to 49.1 in November, slightly exceeding market expectations and October’s figure of 48.8. This marks the fifth consecutive improvement and the least severe decline in operating conditions during the current seven-month downturn. Although output saw a slight decrease due to reduced orders and weaker demand, some firms reported gains from new clients and clearing existing backlogs. The decline in new orders was modest, while export sales saw an uptick for the first time since March. Purchasing activity continued to rise for the second consecutive month, despite a decrease in the stock of purchases. Employment levels fell once again, albeit at a reduced pace. Input prices increased for the first time in four months, though the rise was marginal, while output prices remained largely stable after previous reductions in October. Business confidence remained optimistic, driven by expectations of market growth, new product introductions, and increased demand, although the overall sentiment dipped to a four-month low.