Russian manufacturing expanded for a 14th month in November, marking the strongest quarterly improvement since the first three months of 2011, after new export orders increased, HSBC Holdings Plc said.
The Purchasing Managers’ Index eased to 52.3 after rising to 52.9, a five-month high, in October, HSBC said today in an e-mailed statement, citing data compiled by London-based Markit Economics. A level above 50 signals an expansion, while below that shows a contraction.
Rebounding sales overseas will counter stalling domestic demand and bolster prospects for reversing an economic slowdown. The economy of the world’s largest energy exporter expanded in the third quarter at the weakest pace since a recovery began at the start of 2010, with retail sales unexpectedly slumping in October as unemployment increased for the first time since January. New export orders increased after a “marginal” decline in October, according to HSBC.
“Although output growth eased, it still remained robust, with improvements in the new export orders index from contraction to growth pointing to the likely stabilization of growth rates in Russian manufacturing in the coming months,” Alexander Morozov, HSBC’s chief economist in Moscow, said in the statement. “The survey effectively dismisses the concerns about downside risks to economic growth that the Russian central bank voiced recently.”
The Micex Index of 30 stocks was little changed at 1,405.28 as of 12:08 p.m. in Moscow. The ruble depreciated less than 0.1 percent to 30.9001 per dollar.
Russia’s government doesn’t yet see any reason to revise its growth forecasts of 3.5 percent for this year and 3.7 percent in 2013, Economy Minister Andrei Belousov told reporters Nov. 30 in Moscow.
Analysts last month forecast that Russia’s economic growth would slow to 3.5 percent next year, down from a median projection of 3.7 percent in a Bloomberg survey in October, as the euro area slides into a recession, sapping demand for commodities. Russian trade in goods with the European Union accounts for almost 49 percent of the total.