PMI: Non-oil business activity contracts for third month in a row: Private sector activity contracted for the third month in a row in November, but at a slower pace than the previous two months, according to the Markit / Emirates NBD purchasing managers’ index (pdf). The PMI rose to 49.2 in November from 48.6 in October, closely missing the 50 expansion mark. “The recovery in the headline PMI in November to a three-month high is encouraging,” Emirates NBD MENA economist Khatija Haque said. Declines in output, new orders, and export orders were behind the contraction.

Employment index falls: Some of the surveyed firms said they actively let staff go in response to falling demand. “Although the declines in output and new work were relatively modest, the employment index fell to its lowest level since March,” Haque said.

But sentiment was positive: “Overall sentiment was positive, with many companies hoping that market stability will encourage demand.”