Manufacturing operating conditions in Spain deteriorated during December for the first time since April amid falls in both output and new orders. Against a backdrop of weakening demand, manufacturers cut their purchasing activity and chose not to renew temporary labour contracts resulting in the biggest monthly fall in employment for two years. Price data meanwhile suggested that cost pressures were broadly contained as input prices fell marginally. Reduced input costs and strong competition meant that manufacturers’ own selling prices were reduced modestly. However, confidence in the outlook improved to its highest ... (full story)