Japan PMI manufacturing dropped to 53.2 in March, down from 54.1 and missed expectation of 54.3.
Key points from the release:
- Flash Japan Manufacturing PMI declines in March to 53.2, from 54.1 in February.
- New orders increase, albeit to weakest extent in five months.
- Job creation eases amid joint-softest pace of output growth since July 2017.
Quotes from Joe Hayes, Economist at IHS Markit:
“The headline PMI declined in March, signalling a weaker improvement in overall business conditions in the manufacturing sector. Output, new order and employment growth rates all slowed, while longer lead times continued to impact supply capacities.
“That said, with new business increasing for an eighteenth straight month, firms raised output prices to a quicker extent, signalling confidence in the demand climate and purchasing power of their clients. Despite two months of weaker headline PMI readings, the 2018 Q1 average still signals a robust operating environment.”
Full release here
