Davivienda Colombia Manufacturing PMI Rose in June

(Bloomberg) -- Colombia's manufacturing industry improved to the greatest level in nearly two-and-a-half years in June. The seasonally adjusted Davivienda Colombia Manufacturing PMI rose to 53.0 in June, up from 51.1 in May. The June figure was the highest since January 2016.

New orders rose to a 21-month high on improved economic conditions and stronger demand.

“Growth of output, new orders and employment all gathered pace, driven by the ongoing strength of the domestic market,” Pollyanna De Lima, Principal Economist at IHS Markit, said in the report.

In light of robust business conditions, manufacturers increased hiring in June, with the job creation index quickening to the fastest level in nearly two-and-a-half years. Payrolls expanded for the fifth month in a row after a year of soft employment figures.

Colombian manufacturers output prices rose at a soft pace as they were reluctant to pass on higher input prices. Input cost inflation accelerated to the highest level in eight months. In particular, manufacturers indicated having paid more for chemicals, metals, plastics and textiles.

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