All posts tagged: PMI

Japan’s factory activity growth hits 4-year high on stockpiling, PMI shows

Japan’s factory activity growth hits 4-year high on stockpiling, PMI shows

Published by Sam Flores

TOKYO, May 1 : Japan’s manufacturing activity grew at its strongest pace in over four years in April, as companies ramped up production and stockpiled goods amid supply chain disruptions caused by the Middle East war, a private-sector survey showed on Friday. • The final S&P Global Japan Manufacturing Purchasing Managers’ Index (PMI) rose to 55.1 in April from 51.6 in March, marking the biggest expansion since January 2022. A reading above 50.0 indicates expansion, while below that level signals contraction. • Manufacturing output surged at the fastest rate since February 2014, up sharply from March, driven by higher new orders and efforts to build inventories due to uncertainty over the war in the Middle East. • New orders rose at the quickest pace since January 2022, compared with a slower rate in March. Companies said concerns over future supply chain delays and price increases due to the Middle East conflict prompted customers to place new orders, with some also noting greater demand for AI-related technology. • However, supply chains deteriorated at the steepest rate …

Key Events This Holiday-Shortened Week: Payrolls, PMI, ISM, Retail Sales And Fed Speech

Key Events This Holiday-Shortened Week: Payrolls, PMI, ISM, Retail Sales And Fed Speech

Published by Jenni Sidey

Looking at the week ahead, we should start to learn about the economic consequences of the conflict, as several data releases for March are out which cover the period since the strikes began on February 28. In the US, that includes the monthly jobs report on Friday – which falls on a Holday when stocks are closed, while bonds are open for half a day –  where economists expect nonfarm payrolls to have risen by +60k in March. As a reminder, US payrolls have been pretty choppy in recent months, and on the current series of revisions they’ve been oscillating between positive and negative readings for every month since May. Last month they were down -92k, but some of that weakness was a function of a strike at a major healthcare company that’s since ended, along with severe weather that may have temporarily depressed February’s payrolls. So while DB economists are expecting a positive payrolls print for March, they think the unemployment rate will round up to 4.5% given how close it was last month (4.44%). …

Resilience Of US Economy Showing “Signs Of Cracking” As US Services PMI Disappoints

Resilience Of US Economy Showing “Signs Of Cracking” As US Services PMI Disappoints

Published by Jenni Sidey

Following yesterday’s US Manufacturing ISM survey disappointment, this morning we get yet more soft survey data – this time a look at the Services sector via S&P Global. The final (December) US Services PMI data was a disappointment, printing 52.5 vs 52.9 expected… Source: Bloomberg While the print was a disappointment, it remains above 50 – expansion – but new business inflows rising to the weakest degree in over a year-and-a-half, growth of activity faltered and was the lowest since last April. Confidence in the outlook also weakened, whilst employment volumes stagnated, failing to rise for the first time since last February. The S&P Global US Composite PMI recorded 52.7 in December, down from 54.2 in the previous month. Business activity continued to expand in December, rounding off another quarter of robust growth, but as Chris Williamson, Chief Business Economist at S&P Global Market Intelligence, points out, “the resilience of the US economy is showing signs of cracking.” “New business placed at services providers showed the smallest rise in some 20 months which, accompanied by the first …