Malaysia November factory activity strongest in 3.5 years, lifted by new orders

05-Dec-2017 Intellasia | Reuters | 6:00 AM Print This Post

Data from the Markit

Malaysia Purchasing managers’ Index for October.

Readings above 50.0 signal an improvement in business

conditions while ones below indicate deterioration.

DATA

NOV OCT SEPT AUG JULY JUNE MAY APRIL MARCH FEB

52.0 48.6 49.9 50.4 48.3 46.9 48.7 50.7 49.5 49.4

CONTEXT

* November data showed the strongest expansion of the

manufacturing sector since April 2014, due to solid growth in

output and new orders, on improved domestic and overseas demand.

* Output rose for a fourth straight month, and at the

fastest pace in nearly three years. The rate of expansion for

new orders was the fastest since October 2014, and for export

orders was the strongest since June 2013.

* Input prices rose amid reports of a general increase in

raw material prices, leading to higher output prices.

* Business confidence levels towards the 12-month outlook

for output was the strongest in nearly four years, on positive

projections for stronger demand and new projects.

Aashna Dodhia, economist at IHS Markit, said:

“November data indicated a long-awaited improvement in the

health of the manufacturing sector. The headline PMI rose to its

highest level since April 2014, underpinned by stronger demand

conditions. Subsequently, growth in output and new orders were

the fastest since December 2014 and October 2014 respectively.

“These positive developments fuelled job creation at the

joint-strongest rate since December 2012. Moreover, business

confidence among the manufacturing community was the strongest

in nearly four years.

“Reflecting an increase in overseas demand for Malaysian

goods, new export orders rose at the joint second-fastest rate

in the series history. Overall, growth momentum in Malaysia is

likely to be sustained towards the end of the year.”

https://sg.news.yahoo.com/malaysia-nov-factory-activity-strongest-025226589.html

 


Category: Malaysia

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