The Clap
In July 2022, the PMI index rose to 46.4 points, after reaching 45.2 in June 2022, its lowest level in 2 years.
The Deets
The S&P Global report stated that regardless of the small increase in the PMI index, the non-oil economy is still in a decline but at a lower rate than in June.
Impact of Inflation
Although there are indicators that show inflation has decreased, the companies surveyed in the study indicated a decline in demand due to inflation, leading them to decrease production levels.
Some companies reported an increase in production costs due to supply chains slowing down and an increase in the EGP/USD exchange rate.
Employment
Employment levels were stable in July, ending 8-months of job losses. Expectations for production levels remain weak. Some companies stated they are looking to cut their workforce while others had confirmed that there are new hires.
To read the full S&P Global report, click here.
PMI Index rises to 46.4 points ↗️
