According to CoinMeta, the Australian Manufacturing Purchasing Managers Index ( PMI ) rose to 52.0 in July, indicating a modest but real improvement in the country's manufacturing conditions, with both production and new orders returning to growth for the first time. Nevertheless, the recovery remains fragile: although input cost inflation has eased, it is still higher than pre-conflict levels, and 40% of businesses reported increases in fuel and transportation costs related to the Middle East. The overall data supports a cautiously optimistic outlook for the industrial economy, but economists at S& P Global warn that if inflationary pressures in the Middle East intensify again, the recovery could be short-lived.