Japan: Manufacturing PMI recedes in July, moves closer to contraction territory
July 24, 2014
The Markit/JMMA Flash Manufacturing Purchasing Managers Index (PMI) fell from a revised 51.5 in June (previously reported: 51.1) to 50.8 in July. The PMI is now even closer to the 50-threshold that separates an expansion from a contraction in the manufacturing sector.
The monthly deterioration mostly reflected a lower reading in manufacturing output, which was partially offset by better performance in new orders and new export orders. According to Markit/JMMA, “looking through this noise therefore remains a challenge, but we note payroll numbers rose again suggesting manufacturers retain some positive forecasts for the coming months.”