Global Manufacturing Sector Has “Sufficient Momentum” For Growth
- The JP Morgan global purchasing managers’ index held steady at 53.2 in September. The bank said, “The [manufacturing] sector looks to have sufficient momentum to see growth continue through to year-end, even in the face of a recent revival in cost inflationary pressures.”
- The Eurozone IHS/Markit PMI rose to 58.1 in September from 57.4 in August due to expansions in output and new orders in all the nations covered. Germany and France’s individual readings both reached their highest levels in 77 months. The IHS/Markit PMI reading for the United Kingdom fell to 55.9 in September from 56.7 in August despite solid growth in output, new orders, and employment.
- Manufacturing readings for Asian countries were mixed in September. The Caixin PMI for China fell to 51.0 last month from 51.6 in August. The bank explained, “The decline in the headline index coincided with a weaker expansion in total new business during September. Furthermore, latest data pointed to the slowest increase in new orders for three months.” Nikkei’s PMI for Japan rose, meanwhile, to 52.9 from 52.2 due to increases in production and new orders. South Korea’s manufacturing reading also improved last month. The Nikkei ASEAN PMI registered 50.3 in September, down slightly down from 50.4 in August. That index covers Indonesia, Malaysia, Myanmar, the Philippines, Thailand, Singapore, and Vietnam. Taiwan’s index also fell slightly while India’s PMI was unchanged at 51.2.
- As a reminder, all PMI readings can be found here.