Russian Manufacturing Continues The Rapid Contraction In January
Posted on Monday, February 2nd, 2009 | In Economics, RussiaRussian manufacturing contracted at its second-fastest pace since 1998 in January as companies continued cutting production and jobs amid collapsing demand at home and abroad, according to the latest manufacturing PMI report from Markit Economics and VTB Capital. VTB’s Purchasing Managers’ Index rose to 34.4 from December’s record low of 33.8. The length of the manufacturing contraction is now just one month short of the slump that occurred during the 1998 economic collapse. Basically we still need to see the services PMI (out later this week), but this looks to me (on a rough calculation basis) like a 1% quarter on quarter GDP contraction rate, or an annual rate of GDP contraction of 4% in January. br /br /a href=”http://1.bp.blogspot.com/_ngczZkrw340/SYbATcp7ElI/AAAAAAAAMgM/WEmIrUSLxIs/s1600-h/russia+man+pmi.png”img id=”BLOGGER_PHOTO_ID_5298133451990045266″ style=”DISPLAY: block; MARGIN: 0px auto 10px; WIDTH: 400px; CURSOR: hand; HEIGHT: 244px; TEXT-ALIGN: center” alt=”" src=”http://1.bp.blogspot.com/_ngczZkrw340/SYbATcp7ElI/AAAAAAAAMgM/WEmIrUSLxIs/s400/russia+man+pmi.png” border=”0″ //abr /div/divbr /br /blockquote“There were numerous reports from panelists that the weaker ruble had partially offset the impact of falling global commodity prices, resulting in a slower overall rate of deflation,” the report said. /blockquotebr /br /br /Meanhwhile the ruble weakened again this morning, and fell below the central bank’s target exchange rate of 36 per dollar, only two weeks after Chairman Sergey Ignatiev widened the trading band and committed to using reserves to defend the new level. The ruble depreciated as much as 1.7 percent to 36.3550 per dollar in trading this morning, its weakest level since January 1998.
Last 5 posts by Edward Hugh
- Global Manufacturing, France Outperforms, As Spain Continues To Flounder - November 3rd, 2009
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- Beyond The Consensus On European Bank Credit - October 27th, 2009
- The French Rebound Continues In October While Germany Moves Sideways - October 27th, 2009
- The French Rebound Continues In October While Germany Moves Sideways - October 27th, 2009
 About Edward Hugh (http://globaleconomydoesmatter.blogspot.com)
Edward Hugh is a macro economist, who specializes in growth and productivity theory, demographic processes and their impact on macro performance, and the underlying dynamics of migration flows. Hugh is a founding member and regular contributor to a number of economics weblogs, including Global Economy Matters, Demography Matters and a number of others. Edward 'the bonobo' Hugh is a Catalan economist of British extraction based in Barcelona. By inclination he is a macro economist, but his obsession with trying to understand the economic impact of demographic changes has often taken him far from home, off and away from the more tranquil and placid pastures of the dismal science, into the bracken and thicket of demography, anthropology, biology, sociology and systems theory. All of which has lead him to ask himself whether Thomas Wolfe was not in fact right when he asserted that the fact of the matter is "you can never go home again". He is currently working on a book with the provisional working title "Population, the Ultimate Non-renewable Resource". Edward also writes regularly for the demography blog Demography Matters. He also contributes to the Indian Economy blog . His personal weblog is Bonobo Land . Edward's website can be found at EdwardHugh.net. Edward follows in detail the Indian, Italian, Spanish, German and Japanese economies. He also has a more than a passing interest in the economies of Turkey and Brazil and in the emerging economies of Eastern Europe. |
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