Catherine Beard Executive Director ManufacturingNZ 12 May 2017 “The April value for new orders (62.4) was only slightly down from the March value, with the combined result of the two months the highest for new order expansion since 2004. While production (56.9) dipped in terms of expansion, the remaining indices remained either stable or increased slightly from March”. “Mirroring the overall result, the proportion of positive comments also dipped somewhat from 67.2% in March to 64.7% in April. BNZ Senior Economist, Craig Ebert, said “there weren’t any significant jags in the main component detail of the PMI for April, leaving them all looking good. Overall, April’s PMI was another deserving of a big tick”. While New Zealand’s manufacturing sector saw expansion in activity soften slightly in April, the sector remains in healthy territory, according to the BNZ - BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for April was 56.8 (a PMI reading above 50.0 indi- cates that manufacturing is generally expanding; below 50.0 that it is declining). This was 1.2 points lower than March, but still the second highest value since September 2016. Overall, the sector has remained in expansion in all months since October 2012. BusinessNZ’s executive director for manufacturing Catherine Beard said that the fundamentals of expansion in the sector remain on track. In gear View PMI Time Series Data BNZ - BUSINESSNZ PERFORMANCE OF MANUFACTURING INDEX 56.8 -1.2 expanding April Value Monthly Change Slower rate
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BNZ - BUSINESSNZ PERFORMANCE OF MANUFACTURING INDEX … · BNZ Senior Economist, Craig Ebert, said “there weren’t any significant jags in the main component detail of the PMI
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Catherine BeardExecutive DirectorManufacturingNZ
12 May 2017
“The April value for new orders (62.4) was only slightly down from the March value, with the combined result of the two months the highest for new order expansion since 2004. While production (56.9) dipped in terms of expansion, the remaining indices remained either stable or increased slightly from March”.
“Mirroring the overall result, the proportion of positive comments also dipped somewhat from 67.2% in March to 64.7% in April.
BNZ Senior Economist, Craig Ebert, said “there weren’t any significant jags in the main component detail of the PMI for April, leaving them all looking good. Overall, April’s PMI was another deserving of a big tick”.
While New Zealand’s manufacturing sector saw expansion in activity soften slightly in April, the sector remains in healthy territory, according to the BNZ - BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for April was 56.8 (a PMI reading above 50.0 indi-cates that manufacturing is generally expanding; below 50.0 that it is declining). This was 1.2 points lower than March, but still the second highest value since September 2016. Overall, the sector has remained in expansion in all months since October 2012.
BusinessNZ’s executive director for manufacturing Catherine Beard said that the fundamentals of expansion in the sector remain on track.
In gear
View PMI Time Series Data
BNZ - BUSINESSNZPERFORMANCE OFMANUFACTURINGINDEX
56.8 -1.2 expandingApril Value Monthly Change Slower rate
Construction To be sure, the indicators around construction remain generally upbeat. However, the technical picture around its activity for the March quarter has a few clouds about it.
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Title The Reserve Bank was right yesterday, in stating that “Global economic growth has increased and become more broad-based over recent months.” The JP Morgan IHS Markit Global Manufacturing PMI supported this.
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The PMI New Zealand’s Performance of Manufacturing Index (PMI) remained strong in April. It chimed in with a seasonally adjusted 56.8, from 58.0 in March – making the low point back in January, of 53.2, seem but a distant concern.
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Employment The other component detail that was encouraging was regards staffing. April’s PMI index on employment was 53.0. This was about as robust as it was in March (53.5) and so still securely above its long-term average, of 50.5.
Media CommentSponsor StatementBNZ is delighted to be associated with the Performance of Manufacturing Index (PMI) and BusinessNZ.
The association brings togetherthe significant experience of leading business advocacy bodyBusinessNZ, and business financespecialist BNZ.
We look forward to continuing ourassociation with BusinessNZ and associated regional organisations, and to playing our part in theongoing development of the NewZealand manufacturing sector.
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