Factory output expands for 2nd straight month

PMI rises to 50.7 in February from 50.4 in January

After demonetisation hit manufacturing hard in December, factory activities saw a second month of expansion in February and at a rate higher than in January, shows the Nikkei purchasing managers’ index (PMI) survey. Even then, it might not be possible for manufacturing activities to grow higher in the fourth quarter (January-March) of the current financial year than the third quarter. 

After rising to 50.4 in January, the PMI inched up to 50.7 in February. The 50-point mark separates expansion from contraction, indicating the health of the sector improved to a greater extent, the survey said. The December figure of 49.6 showed