Australia CBA PMI Manufacturing dropped to 49.9 in November, down from 50.0. PMI Services dropped to 49.5, down from 50.1. PMI Composite dropped to 49.5, down form 50.0. The data signalled a renewed fall in private sector output. Declines were seen across both manufacturing and service sectors.
Commenting on the Commonwealth Bank Flash PMI data, CBA Chief Economist, Michael Blythe said:
“Activity in the key manufacturing and services sectors continues to bounce around the 50 line that separates expansion from contraction. This is a particularly disappointing result when benchmarked against interest rate cuts, tax cuts, rising house prices and a still solid labour market”.
“Readings on new orders and employment offer a glimmer of positive news. But the challenges faced by Australian businesses are evident in the accelerating growth in input prices and the slowing trend in output prices. Competitive pressures and weak demand are taking a toll”.
