Wednesday, May 30, 2012

Global Manufacturing Growth Edges Up to 10-Month High

JPMorgan & Markit Global Indexes

The USA, comprising 28.1% of the total PMI, led global manufacturing to a 10-month high. This contrasts to the Eurozone PMI, which is near a 3-year low.  Conditions deteriorated in Germany, France, Italy, Spain, the Netherlands, and Greece. Asia was mixed with strong growth in India, modest growth in Japan, Taiwan and South Korea, and subdued conditions in China.

David Hensley, Director of Global Economics Coordination at JPMorgan, said, "The global PMI edged up to 51.4 in April. The gain reverses slight declines in February and March and leaves the survey little changed on the year. The PMI’s production component is consistent with 2.5% annualized growth in global manufacturing. This represents a step-down from the pace of 1Q12, when growth was boosted by the rebound in floodravaged Thailand".

JPMorgan Global Manufacturing PMI The current reading of 51.4 (+0.3) indicates expansion at a slightly faster rate. The PMI latest peak was 57.4 in February 2011. The post-recession high has been 57.7 in April 2010. The post-recession low was 49.7 in November 2011. Historical back data has been slightly revised, only the latest 5 months of revisions are reflected on chart. The general trend is not affected by the revisions.

China Manufacturing Contracts Marginally, Slowdown Stabilizes

USA Manufacturing Growth Rises to 10-Month High


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