Indonesia: Manufacturing PMI increases further in August
The S&P Global Manufacturing Purchasing Managers’ Index (PMI) rose to 53.9 in August from 53.3 in the prior month, marking the highest reading since November 2021. Consequently, the PMI moved further above the 50-threshold that separates improving from deteriorating conditions in the manufacturing sector compared to the previous month.
Output, new orders and employment growth accelerated in August. Moreover, purchasing activity expanded at a faster pace and inventories piled up. Meanwhile, optimism for the coming 12 months rose to the highest level in ten months. On the price front, cost pressures softened to the joint-weakest level since October 2020, which translated into a marginal deceleration in output price inflation.