Singapore's manufacturing PMI eases to 50.3 in April

Source: Xinhua | 2019-05-05

Singapore Institute of Purchasing and Materials Management (SIPMM) announced on Friday the country's purchasing managers' index (PMI), an early indicator of manufacturing activity, declined by 0.5 points from 50.8 for March to 50.3 for April, the Straits Times reported.
It marks the 32nd month of consecutive expansion of Singapore's manufacturing sector. A PMI reading of 50 and above indicates expansion, while a reading below 50 indicates contraction.
Meanwhile, the PMI of Singapore's electronics industry dropped from 49.8 to 49.5, a contraction for the sixth straight month.
Singapore's manufacturing PMI declined in April mainly due to lower prints in new orders, new exports, output, inventory, finished goods stocks, imports and employment gauges. SIPMM also said that manufacturers are facing increased pressures from global uncertainties.
Meanwhile, the electronics PMI suffered drags from new orders, new exports, output, finished goods and order backlog gauges in April.
Selena Ling, Head of Treasury Research and Strategy of OCBC Bank, said the set of PMI data reinforces OCBC's view that any uptick in the second quarter of 2019 is unlikely to be very robust. She said Singapore's manufacturing growth may continue to contract marginally year-on-year in the second quarter as electronics momentum remain a drag in the near-term.