Judo Bank / S&P Global final manufacturing PMI for December 2023 is 47.6.
- the preliminary (flash) reading was 47.8
- November was 47.7
Employment conditions easing, as are price indexes.
Commentary, in brief, from the report:
- December manufacturing output index returned to a historically low reading of 45.5
- new orders index, which also resides at a low level by historical standards, saw notable improvement through December.
- Despite output levels and new orders reflecting an easing in activity, labour demand has only weakened slightly, with the employment index sitting slightly under the neutral level at 48.4 in December
- suggest that a slowdown in labour demand for the manufacturing sector is underway
- price indicators have softened to levels broadly consistent with a 2-3% inflation rate
- “The manufacturing sector has shown a consistent easing trend throughout 2023, responding well to monetary policy, with inflation aligned with the target levels set by the RBA. The sector's activity is gradually slowing down, and we expect this trend to continue through early 2024.”
