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Japan: Manufacturing PMI inches up in December

December 16, 2014

The Markit/JMMA Flash Manufacturing Purchasing Managers’ Index (PMI) inched up from the revised 52.0 in November (previously reported: 52.1) to 52.1 in December. As a result, the PMI remains above the 50-threshold that separates an expansion from a contraction in the manufacturing sector, where it has idled for the last six months.

The slight improvement reflected faster rates of expansion in output, employment and supplier’s delivery times. Conversely, new orders and stocks of purchases increased at a slower pace in December. Moreover, the weakening of the yen prompted input prices to rise at a sharp pace. Markit/JMMA analysts stated that, “the short-term outlook appears broadly positive, although there is some uncertainty with the December general elections taking place.”


Author: Ricard Torné, Lead Economist

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Japan PMI December 2014

Note: Markit/JMMA Manufacturing Purchasing Managers’ Index. Readings above 50 points indicate an expansion in the manufacturing sector while readings below 50 points indicate a contraction.
Source: JMMA and Markit.


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