Early signs of turnaround across S. Korean manufacturing sector

Improved data: An employee works at Hyundai Card Corp credit card factory in Seoul. South Korea’s IHS Markit purchasing managers’ index rose to 46.9 in July from 43.4 in June, marking the highest reading since January. — Bloomberg

SEOUL: South Korea’s manufacturing activity shrank at a much slower pace in July, signalling that a gradual recovery in demand is gaining momentum on easing lockdowns, although the resurgence in infections remained a risk.

The IHS Markit purchasing managers’ index (PMI) rose to 46.9 in July from 43.4 in June, marking the highest reading since January. But that was still below the 50 threshold that separates growth from contraction.