Greek factory activity at five-month low in October, orders drop

Activity in Greece's manufacturing sector contracted again in October with the key indicator hitting a five-month low as production and new orders declined, a survey showed on Tuesday.

Markit's Purchasing Managers' Index (PMI) for manufacturing, which accounts for about 10 percent of the Greek economy, fell to 48.6 points last month from 49.2 in September. A reading below 50 denotes a contraction in activity.

Output declined for the second straight month in October and at the quickest pace seen since July, with manufacturers citing weak demand as the main driver.

"Greece's manufacturing sector took another hit in October," said IHS Markit economist Samuel Agass. "Output, total new work and stocks of purchases all contracted at a sharper pace than in September, intensifying the overall downturn in the sector."

October saw a decline in new orders, both in the...