Poland's Purchasing Managers' Index (PMI) reading eased to 49.2 points in April, below analysts' forecasts and a touch down from the previous month's 50.1-point reading.

Being below the 50-point threshold, the reading suggests a contraction of Poland's manufacturing sector took place last month. Anything above 50 indicates expansion.

HSBC wrote in a report that driving the overall deterioration in operating conditions in April was a decline in new business, resulting in a near-stagnation of production at the start of the second quarter

“The economy is slowing as marked most recently by very poor industrial production growth in March. The negative drag comes from the external environment with the new export orders underperforming the new orders index in the second half of last year and both falling to a lowest level since mid-09 in April,” said Agata Urbanska, economist at the Central & Eastern Europe division of HSBC.

Poland's PMI has come in below 50.0 three times in the past six months.

Poland A.M.