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Spain's manufacturing sector broadly stagnated in May as production stalled amid fall in new orders, survey data from IHS Markit showed Monday.
The factory Purchasing Managers' Index fell to 50.1 in May from 51.8 in April.
New orders declined for the first time in three months, reflecting weakness centered on the domestic market. Meanwhile, export orders continued to rise.
As new orders faltered, production stagnated in May. Employment decreased for the first time since the end of 2013.
On the price front, data showed that overall cost inflation remained moderate, despite reports of higher prices for chemicals, fuel and meat. At the same time, output charge inflation edged up to a six-month high but remained muted.
Finally, confidence about the future was at its lowest level in half-a-year in May, survey revealed.
