Ireland: Manufacturing PMI dips slightly in April but remains at near-record level
May 3, 2022
The S&P Global Manufacturing Purchasing Managers' Index (PMI) fell to 59.1 in April from March's 59.4. As a result, the index moved closer to the 50.0 no-change threshold, signaling a slower improvement in business conditions compared to the previous month. Despite the mild decline, the manufacturing PMI was still at near-record levels.
The PMI was sustained by stronger job creation, which reached a 10-month high. It was also supported by robust growth of output and new orders, which remained above their long-run average. This said, the growth of output and new orders was weaker than in the prior month, pointing to the rising headwinds to economic activity from record output inflation and supply bottlenecks.
AIB’s Oliver Mangan commented on the darkening business outlook:
“In terms of the 12-month outlook, while sentiment remains positive, it fell to its lowest level since end 2020, amid much uncertainty around inflation and the situation in Ukraine.”