New Zealand BusinessNZ Performance of Manufacturing Index rose 1.6 to 53.3 in October, indicating faster expansion rate. That’s also the highest level since May. BusinessNZ noted “the October result was a welcome change from where the survey has sat for the previous four months.” And, while “the improvement in the PMI is not large, but we see it as important to the broader economic narrative”.
Looking at the details, the key sub-indicators of production (52.8) and new orders (56.7) both improved with their highest results since May and April respectively. Also, after dipping into contraction during various times in 2018, employment (52.4) improved for a second consecutive month. The proportion of positive comments (58.3%) also increased, with demand for products from offshore customers noted throughout.
