The Purchasing Managers Index (PMI) for the Czech Republic grew to the five-month high of 53.3 pts in October 2016 from 52 pts in the previous month. This stems from the IHS Markit survey. Production and new contracts grew most significantly since March 2016. The overall improvement of business terms was confirmed by higher employment, export and purchasing activity. The results indicate growing pressure on business margins caused by further acceleration of input prices, while goods’ prices decreased. IHS Markit raised its industrial production forecast to 3.3%.
