LATAM Today: July 1, 2026

Research evidence excerpt

LATAM Today: July 1, 2026

Economics Research

1 July 2026 | 9:57AM EDT

RamosBRAZIL Alberto | +1(212)357-5768

alberto.ramos@gs.com

Firmer June Manufacturing PMI; Still Intense but Moderating Input Cost/Price Goldman Sachs & Co. LLC

Pressures Sergio+1(212)357-9077Armella|

Bottom Line: The Markit Manufacturing PMI rose by 1.7pt to 50.8 in Jun, returning to sergio.armella@gs.comGoldman Sachs & Co. LLC

expansionary territory. Employment expanded at a faster pace. Domestic and external Santiago Tellez

demand and production declined in the month but at a milder pace. Cost pressures remain +1(212)855-0367 | santiago.tellez@gs.com

intense but eased visibly in June. Supplier delivery times lengthened. Goldman Sachs & Co. LLC

DETAILS:

1. The Markit Manufacturing PMI rose by 1.7pt in Jun to 50.8, with the headline

index returning to expansionary territory. Although firms’ assessments of growth

prospects remained positive, confidence fell to a 14-month low with key

concerns centered around competition, political uncertainty and unstable global

markets.

2. The sequential increase of the headline PMI indicator was broad-based, but the

main components are still tracking in contractionary territory: New Export

Orders (+2.9pt to 46.2), Output (+1.9pt to 48.7), New Orders (+3.2pt to 48.4)

and Input purchases (0.3pt to 49.4) declined at a milder pace. On the positive

side, Employment (+1.2pt to 52.5) increased at a faster pace.

3. Input (cost) and output price pressures are still intense but eased visibly at the

margin: Input costs (-12.1pt to 73.0; still 24.8pt above Dec-25) and Output

prices (-8.6pt to 61.8; +14.5pt above Dec-25) increased at a high rate though

moderating from May. Part of the very significant Feb-Apr increase in input costs

was absorbed in margins.

4.