Japanese manufacturing PMI in August comes in at 52.5
- preliminary (flash reading) was 52.5
- prior (for July) was 52.3
The key points made by Markit for this month's report:
- Production rises amid faster new order growth
- Export orders fall for second time in three months
- Geopolitical risks weigh on business sentiment
More:
Commenting on the Japanese Manufacturing PMI survey data, Joe Hayes, Economist at IHS Markit, which compiles the survey, said:
- "Japan's goods-producing sector continued to record growth at the midway point in Q3, extending the current stretch of expansion to two years - the longest since the global financial crisis. Survey data signalled a moderate improvement in the health of the sector, supported by an accelerated influx of new orders.
- "That said, survey data indicated the upturn in demand was domestic-led, with export sales falling over the month. Potential escalations in trade conflict also contributed to a softening of business confidence.
- "Overall sector growth remained relatively weak compared to Q1 and Q2 averages. Sub-index data continues to point to delayed input delivery times. Meanwhile, the non-replacement of retiring staff contributed to a further slowing of job creation. With this in mind, production line capabilities could be restrained over the coming months if these trends continue, irrespective of demand pressures."
