Manufacturing narrowly achieved growth in October: PMI

Growth in manufacturing slowed for the fourth straight month according to the Australian Industry Group’s Performance of Manufacturing Index results for October.

The overall result of 50.4 was characterised as “treading water” by the Ai Group, and was down 0.8 points on September. 

A score of 50 in the PMI survey indicates no change, above it expansion and below it contraction.

Four of the seven activity indices were below 50, with declines in production, employment, exports and supplier deliveries. 

“More positively, forward orders continued to expand at a relatively strong pace, indicating that recovery is likely after COVID-19 restrictions lift more fully and across more locations,” said the Ai Group.

In another piece of positive news, October is the 13th straight month with a result above 50. 

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