PMI edges up to 50.0 February

It increased by 0.2 points from January.

The Purchasing Managers' Index (PMI) ended its contraction streak in February, with a 0.2-point increase to 50.0.

The Singapore Institute of Purchasing and Materials Management (SIPMM) attributed the increase to “an improvement in the new orders index, an expansion in the factory output index, and a slower contraction in the new exports index.”

Meanwhile, electronics PMI remained in contraction territory at 49.3 despite a 0.2-point increase from January.

SIPMM attributed the increase in electronics PMI to a “slower contraction in the key indexes of new orders, new exports, factory output, and inventory.”

“The latest PMI readings have provided a welcome respite for Singapore manufacturers, as the sector had been hit with dampening global demand, and the worsening macroeconomic risks of high inflation and interest. China’s lifting of strict Covid-19 restrictions have boosted demand and eased the supply situations, but geopolitical risks remain unabated in the global markets,” Sophia Poh, Vice President, Industry Engagement & Development, said.