Thought for the day

June SMI Data Shows Indian Economy
Heading Back Into Recession

28 June 2022
The Headline Sales Managers Index dipped further under the 50 ‘no growth’ line to a 10 month low.

The Indian economy is slowly tipping back into recession according to the latest (June) data from the Sales Managers Monthly survey.

Sales managers are very much the "front line" in terms of sensitivity to changing business conditions.

Sensitive to contractual negotiations being deliberately slowed down.

Sensitive to expected contracts "in the bag" being suddenly cancelled.

And most of all sensitive to "budgetary problems" being increasingly cited as reasons for sales negotiations faltering.

All of these conditions are present today in many markets leading to the June Sales Managers Index falling to a near year low.

Very little general good news is apparent from the June survey, although some sectors of economic activity continue to thrive. See more data...

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