XINHUA – Malaysia’s manufacturing purchasing managers index (PMI) was unchanged at 49.5 in October, slightly below the neutral 50 threshold.
S&P Global Market Intelligence said in a note yesterday that the index signalled a slight softening in business conditions over the month.
While the latest data pointed to ongoing muted conditions in the sector, it noted the rate of moderation remained only fractional.
“October data pointed to a continuation of the trends seen at the end of the third quarter, though the picture for Malaysian manufacturing remained mixed,” said economist Usamah Bhatti at S&P Global Market Intelligence.
Encouragingly, he noted firms were able to bring in greater volumes of new work for the first time in four months, but there were still reports that demand was generally muted.
As such, production contracted to a greater extent, while employment levels remained broadly unchanged, he said.
According to him, a positive light continued to shine from international demand, owing to a seventh successive rise in new export orders. Cost inflation also eased again, which meant firms raised their selling prices to the least marked extent since May, he added.
