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Spain's manufacturing sector contracted in November for the first time since July, a survey showed today, dragged down by lower output and new orders and fuelling expectations of a slow, weak recovery.
Markit's Purchasing Managers' Index (PMI) of manufacturing companies stood at 48.6 in November, down from 50.9 in December, and marking the first time the index was below the 50 line separating growth from contraction in four months.
The only real positive from the November data is a further rise in new export business, but on this occasion export growth was not sufficient to support an increase in total new orders.
Spain emerged from a two-year recession in the third quarter on the back of strong exports and less weak internal demand and is expected to stage a gradual return to low growth into 2014.
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