Factory activity in Russia is contracting at its sharpest rate since March 2022, according to the latest PMI data. The manufacturing sector shows notable weakness, signaling potential headwinds for regional economic growth. When traditional industrial output declines at such accelerated speeds, it typically reflects broader economic stress and reduced business confidence. This kind of macroeconomic contraction often triggers capital reallocation—investors become more cautious with risk assets and may pivot toward alternative investments, including digital assets. The timing matters too: ongoing geopolitical uncertainties and supply chain disruptions continue weighing on production. For crypto market observers, such PMI deterioration in major economies serves as a broader indicator of risk sentiment shifts. When manufacturing contracts this sharply, asset volatility tends to pick up, and correlations between traditional and digital markets often tighten. Traders monitoring cross-asset flows should keep tabs on these economic cycles.