ZCZC
BCN-26
SINGAPORE-ECONOMY-MANUFACTURING-PMI
Singapore’s manufacturing PMI falls to 52.4 in September
SINGAPORE, Oct. 3, 2018 (BSS/Xinhua) – The Singapore Institute of
Purchasing and Materials Management (SIPMM) announced on Tuesday the
country’s purchasing managers’ index (PMI), an early indicator of
manufacturing activity, declined by 0.2 points from 52.6 for August to 52.4
for September.
It marks the 25th month of consecutive expansion of Singapore’s
manufacturing sector.
Meanwhile, the PMI of Singapore’s electronics industry dropped from 52 to
51.4, marking the 26th month of consecutive expansion of Singapore’s
electronics industry.
A PMI reading of 50 and above indicates expansion, while a reading below
50 indicates contraction.
Selena Ling, head of Treasury Research & Strategy of OCBC Bank, attributed
the lower PMI prints for September to lower new orders, new exports, output,
order backlogs, inventory, stocks and imports. She added that the employment
index rose for the manufacturing sector but fell for the electronics industry
in the month.
“Overall, this reinforced our view that the uptick seen in August was
temporary and not sustainable,” she said. Data from SIPMM show Singapore’s
manufacturing PMI rose by 0.3 points to 52.6 in August, while the electronics
PMI increased by 0.4 points.
According to Ling, Singapore’s manufacturing and electronics growth
momentum will continue to moderate for the remaining months of 2018. Thus,
the bank will maintain its third-quarter GDP growth forecast at 2.3 percent
year on year, and the manufacturing growth forecast at 3.9 percent year on
year.
BSS/XINHUA/HR/1240