Released: 29 June 2020
JUNE Sales Managers Survey Shows Global Growth Further Below Pre-Covid Levels
Global Sales Indexes fell further in June after devastating declines in the past two months
Three countries (China, the USA and India) have generated over 60% of global growth in recent years. But no more. All are suffering deeply from the shattering impact of Covid-19.
China was the first into lockdown and the first of the three to recover. But despite the reopening of much industrial capacity and many offices, the economy is still operating way below pre-Covid-19 levels.
The USA went into lockdown significantly later than China and is consequently still suffering more keenly the dramatic impact of the virus. Unemployment is extraordinarily high and likely to remain so for some time. The US economy continues to shrink rather than grow, and when Q2 GDP data emerges it will show a very significant fall in economic activity took place.
India went into lockdown even later than the US, and is currently suffering from the virus to a greater extent than either China or the US, due to the somewhat primitive medical system, and the impossibility of implementing social distancing in many parts of the many giant Indian cities.
The World Economics Global Sales Managers Index, is designed to show the combined impact of these three biggest influences on global growth. The June data shows that the economies of China, the USA and India in combination, far from driving growth, are in simultaneous and rapid decline. All the Global Sales Indexes fell further in June after devastating declines in the previous two months.
Perhaps most significant of all the Sales Indexes this month, the Global Market Growth Index recorded a figure in the low 40's, reflecting a further sharp decline in economic activity after the large falls recorded in April and May. Although the rate of decline flattened a little in June, many of the various industrial and services markets in all three countries recorded reduced activity levels.
The key Staffing Index fell below the 40 level for the second consecutive month. This Index compares activity in June compared with the situation one year ago, and illustrates the harsh reality of millions of lost jobs over the second quarter of 2020.
► SUBSCRIBERS RECEIVE FULL DATA AND CHARTS.
► SUBSCRIBERS ALSO RECEIVE ALL DATA AT LEAST 5 HOURS EARLIER THAN PRESS EMBARGO TIMINGS.