The emerging markets activity grew further in June at the fastest pace in more than a year, results of a survey by Markit Economics and HSBC Bank showed Monday.
The HSBC Emerging Markets Index, derived from the PMI surveys, rose to 52.3 in June from 50.6 in May. This marked the sharpest increase in activity since March 2013, though the index remained below its long-term average of 53.8. A score above 50 suggests expansion in the sector.
Output in manufacturing sector increased and services activity rose to the highest level in fifteen months in June.
Three of the four largest emerging markets contributed positively to the overall rise in the index with the Chinese output rising at its fastest rate in fifteen months. India's production expanded the most since February 2013 in June.
The Russian private sector output stabilized after declining at the most accelerated pace in five years in May. Brazil's market activity indicated a flat trend in June.
Overall new orders for emerging markets increased at the fastest pace since March 2013. Outstanding business stabilized after a five months of decline.
Input cost inflation reached a four-month high and output prices rose marginally.
The HSBC emerging markets future output index, a measure of perceptions on activity in 12 months, strengthened for the first time since February in June, as three of the four major emerging markets showed improved expectations.
Expectations in the service sector were more positive in June and expectations in the manufacturing sector were least optimistic since September 2012.
