Japan: Composite PMI rises into expansionary territory in December
The au Jibun Bank Composite Purchasing Managers’ Index (PMI) came in at 50.4 in December, up from November’s 49.6. Consequently, the index rose above the 50.0 no-change mark, signaling an improvement in private sector operating conditions from the previous month.
The Manufacturing PMI came in at 47.7 in December, down from November’s 48.3. Lastly, the Services PMI rose to 52.0 in December (November: 50.8).
In the manufacturing sector, output and new orders fell at sharper rates, while employment stabilized. In the services sector, output and new orders grew at faster paces, while employment expanded at a softer speed. Input prices rose more quickly in both sectors, while output prices increased less acutely in the manufacturing sector but more acutely in the services sector. Finally, while business sentiment improved among manufacturers, it deteriorated among services firms.