Australian final September manufacturing PMI 46.7 (prior 48.5)

Judo Bank / S&P Global for September 2024

46.7

• prior 48.7
• flash was 46.7

In summary from the report:

• Manufacturing sector weakened to cyclical lows through September.
• Demand is soft, with elevated business cost pressures.
• Manufacturing PMI index at lowest since 2016, excluding the pandemic start.
• Output and new orders are significantly below the neutral level of 50.
• Sector has been in contraction for eight months, with reduced employment (index averaging 47.9).
• Input and output price pressures back to pre-pandemic averages, but margin pressures remain significant.
• Supply chain issues persist, with delivery times below pre-pandemic levels for three months.
• Business expectations for the next 12 months remain optimistic but below pre-pandemic averages.
• Challenging conditions in late 2024, influenced by weak construction activity and soft consumer markets.
• Some improvement may come from household stimulus and population growth, but overall conditions remain subdued.

This article was written by Eamonn Sheridan at www.forexlive.com.