Emerging markets had their worst month for growth in more than a year during April, according to data released today by HSBC.
The HSBC Emerging Markets Index (EMI), a monthly indicator derived from the PMI surveys, fell to 51.3 in April, from March’s 52.5.
HSBC said the result signals a slowdown in economic growth in global emerging markets, to the weakest level for over a year-and-a-half.
“Weaker economic growth across most advanced markets is now being felt in the emerging world as well,” said Co-Head of Asian Economic Research Frederic Neumann in a statement.
“New export orders in the manufacturing sector, for example, contracted in April after expanding throughout the first quarter of the year.
“While this could be shrugged off as a temporary correction in the trade cycle, the softness of service sector PMIs suggests that a broader, more home-grown deceleration is occurring
across emerging markets as well, even if they are still expanding for the most part,” he said.