FX.co ★ India’s HSBC Composite PMI Slips in July, Signalling Moderation in Growth Momentum

India’s economic activity, as measured by the HSBC Manufacturing & Services PMI, cooled in July 2026, with the composite indicator easing to 54.30 from a previous reading of 57.10.

Both the current and previous data points relate to July 2026 but capture month‑over‑month changes versus different base months, reflecting a moderation in the pace of expansion. While a PMI reading above 50 continues to indicate overall growth in business activity across manufacturing and services, the decline from 57.10 to 54.30 suggests that the earlier, more robust momentum has softened.

The update, released on 5 August 2026, points to a still‑expanding Indian private sector, but with businesses experiencing slower gains in output and new orders compared with the prior month‑over‑month period. Investors and policymakers may interpret the lower reading as a sign that, although the recovery remains intact, the peak pace of recent growth could be behind them.