Netherlands: PMI virtually unchanged in May
June 1, 2016
The NEVI Manufacturing Purchasing Managers’ Index (PMI), produced by Markit and NEVI, ticked up marginally from 52.6 in April to 52.7 in May. The PMI is still above the 50-threshold that separates expansion from contraction in business conditions.
May’s moderate increase mainly reflected that both output and new orders continued to expand in May. Moreover, employment expanded at the fastest rate in five months and manufacturers’ purchasing activity continued to rise, albeit at the more moderate pace in the last three months. Regarding price developments, input prices and output charges continued to drop. Jack Kennedy, Senior Economist at Markit, commented on May’s result, saying that, “May’s PMI data show the Dutch manufacturing sector continuing to expand at a decent clip midway through the second quarter. Expectations that the solid demand environment is set to remain in place over the coming months underpinned another round of recruitment among manufacturers, with staffing levels increasing at the sharpest rate in 2016 so far.”