Ireland: Manufacturing PMI moderates in November
The IHS Markit Manufacturing Purchasing Managers’ Index (PMI) came in at 59.9 in November, down from October’s 62.1. November’s result marked the weakest reading since March. As such, the index remained entrenched above the 50-threshold, signaling a continued, albeit weaker, improvement in business conditions from the previous month.
The weaker reading was primarily due to a softer rise in supplier delivery times, although these remained at near-record levels amid severe supply bottlenecks, with input inflation being only just below October’s survey record. Moreover, lower growth in output, new orders, stocks of purchases and employment also contributed to the lower headline reading.
AIB’s Oliver Mangan commented:
“The combination of strong demand for raw materials and inputs, as well as higher energy and transportation costs, saw further marked upward pressure on input prices. Given these cost pressures, manufacturers raised output prices at their fastest pace in the survey’s history. Inflationary pressures, then, remain very strong in the sector.”