United Arab Emirates: PMI declines in November from October's record high on lower oil prices
December 5, 2014
The HSBC Purchasing Managers’ Index (PMI) fell to 58.3 in November from 61.2 in October, which had represented the highest level on record. Despite the monthly drop, the PMI remains firmly entrenched above the 50-threshold that separates expansion from contraction in the non-oil producing private sector.
November’s figure mainly reflected lower readings in four of the five main sub-categories, with suppliers’ delivery times recording the only improvement in the index. In turn, inflationary pressures moderated in November. HSBC analysts added that, “[t]he PMI is showing a little softness, suggesting weaker oil prices and poor global demand are starting to weigh. But the score is down only from its very high base and remains firmly in expansionary territory.”