France Manufacturing PMI Eases to 50.6 in September as New Orders Fall for Fifth Month

France's manufacturing sector expanded for a second consecutive month in September, but growth slowed as new orders declined, S&P Global said Thursday. The France Manufacturing Purchasing Managers' Index fell to 50.6 points in September from 51.1 in August. Readings above 50 indicate expansion. The final September figure still topped the flash estimate of 50.3. S&P Global said factory production rose, though new orders fell for a fifth straight month and inflationary pressures remained a concern. French headline inflation stood at 3.4% in data published this week, exceeding expectations. "Against a backdrop of rising inflation, an intensification of the energy market crisis and a tightening of financial conditions, France's manufacturing sector managed to grow in September," said Joe Hayes, senior principal economist at S&P Global Market Intelligence. He added that falling new orders, inventory pullbacks and weak expectations "raise questions about the durability of this expansion."