India’s economy has extended its robust performance into the second quarter of FY26, even as some indicators have showed moderation in September, as per the high-frequency data released on October 1.

Manufacturing Eases but Still Strong

The HSBC India Manufacturing PMI eased to a four-month low of 57.7 in September, compared with 59.3 in August. Still, the quarterly average of 58.7 was among the highest since the survey began.

“The September headline index softened, but it remained well above the long-term average. New export orders increased at a faster rate in September, indicating demand outside of the US might be offsetting any decline from tariffs,” said Pranjul Bhandari, chief India economist, HSBC.

While new orders grew at a slower pace, business optimism on the back of GST cuts

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