The September PMI report for the manufacturing industry came in somewhat better than expected in September. The PMI increased to 53.4, up from 51.0 in August. All sub-indices recovered somewhat but the lift in the overall PMI was mainly due to a jump in the volatile sub-index for production.
The rebound in September followed a sharp drop in August and is probably only temporary. We see yet no reasons to be optimistic on the Swedish manufacturing sector as global PMIs in general and the IFO indicator in particular continue their downward trends.
Details, September:
PMI: 53.4 (consensus 51, prior 51.0)
Order intake: 53.0 (prior 51.8)
Export orders: 53.5 (50.7)
Production: 59.3 (prior 50.5)
Employment: 50.8 (prior 49.5)
Inventories: 49.9 (prior 46.0)
Production plans 6 months ahead: 62.1 (prior 61.9)
Nordea