Brazilian Private Sector Expands For Fourth Month: Markit

(RTTNews) - Brazil's private sector economy expanded for the fourth successive month in December, but at a slightly weaker pace than in the previous month, data from a survey by Markit Economics and HSBC Bank revealed Monday.

The seasonally adjusted composite output index, which measures performance of the manufacturing and service sectors, dropped marginally to 51.7 in December from 51.8 in November. Readings above 50 indicate growth in activity, while those below 50 signal decline.

New orders in the private sector economy rose further during December, at a rate that was broadly unchanged from November.

Brazilian companies raised their workforces at the weakest pace in the current four-month sequence of job-creation. The increase was driven mainly by a further rise in service sector employment, which was partially offset by a fall in manufacturing employment.

Prices charged by private sector firms rose further during the month, but at the weakest pace in eight months. Input price inflation also eased, but was nonetheless robust.

At the same time, the purchasing managers' index for the service sector dropped to 52.3 in December from November's ten-month high of 51.7.