- Prior reading was 53.7
- The flash reading was 53.8
- Employment 53.0 (lowest since July) vs 52.8 flash and 55.1 prior
- “Anecdotal evidence suggested that uncertainty towards the global economic outlook had contributed to slower production growth and softer new business gains during recent months.”
Markit PMI final Dec 2014
Comments from Markit chief economist Chris Williamson:
“The manufacturing sector saw growth of activity lose further momentum at the end of 2014, but that didn’t stop factories enjoying their best year since the recession. Even with the slowdown, the manufacturing output is rising at a robust pace. With factories keeping busy, higher production should help the overall economy remain on a firm upward growth trend in the fourth quarter, albeit with growth easing compared to the above-trend rates seen in the second and third quarters.
“The big question of course is whether the pace of expansion will continue to weaken as we move into 2015. Companies are citing greater uncertainty about the outlook, especially in export markets, leading to some scaling back of expansion plans and a greater reluctance for customers to place orders compared to earlier in the year, which suggests a slowdown could become more entrenched unless demand revives.
“In that respect, December saw growth of new orders lift slightly higher, suggesting the environment may already be starting to improve amid lower oil prices and a sustained flow of better than expected economic data in recent months, especially in relation to domestic employment and consumer spending. Even if global demand remains subdued, a buoyant domestic market should therefore help sustain factory growth in coming months.”
Full report (pdf)
