FX.co ★ India’s HSBC Composite PMI Eases in July, Signalling Moderation in Private‑Sector Momentum

India’s private-sector growth showed signs of moderation in July 2026, as the HSBC Manufacturing & Services PMI slipped to 54.30 from 57.10 in June. The latest reading, updated on 24 July 2026, indicates that while activity continued to expand, the pace of growth cooled on a month-over-month basis.

The composite index remains comfortably above the 50-point threshold that separates expansion from contraction, suggesting that both manufacturing and services are still growing, albeit more slowly than in June. The comparison period is month-over-month, meaning July’s “actual” figure reflects a deceleration relative to June, while June’s “previous” reading of 57.10 had itself been measured against May’s performance.

The easing in the PMI may point to early signs of demand normalization after a stronger prior month, as firms adjust output and services activity to evolving domestic and external conditions. Investors and policymakers are likely to watch upcoming releases closely to determine whether July’s pullback marks a temporary pause or the start of a more sustained cooling in India’s private-sector momentum.