India manufacturing PMI reaches seven-month high in September

India’s manufacturing activity strengthened in September, with the HSBC India Manufacturing Purchasing Managers’ Index rising to 55.1 from 52.8 in August, as new orders, production and hiring increased, according to the monthly survey compiled by S&P Global. A reading above 50 indicates expansion. The September result was the highest in seven months, though it came in below a preliminary estimate of 55.7. The survey found that new orders grew at their fastest pace since February, supported by demand for electronics, food, pharmaceuticals and textiles. Export orders also accelerated, with manufacturers reporting stronger business from customers in Brazil, Europe, the United Arab Emirates and the United States. The increase in orders helped factory output expand at its strongest pace since May. Employment growth resumed after manufacturers reported a decline in August. The pace of hiring in September was the fastest since May, the survey said. Business confidence also rose to a four-month high, as firms cited new inquiries and expectations of sustained demand. Manufacturers increased purchases of materials and accumulated stocks in anticipation of stronger sales.