Most sub-indices increased in June. The index for order intake increased significantly and explains most of the increase in June. The index for production declined somewhat but remained on rather healthy level, although the lowest level this year. Production plans however increased and indicates a healthy recovery onwards. The employment index picked up further to 52.8.
Overall the PMI indicates a healthy recovery in the manufacturing industry. But so far hard data such as industrial production has been a lot weaker than surveys suggest. With continued strong domestic demand and exports gradually gaining ground, we expect to see fairly high GDP growth in coming quarters.
Details, June:
PMI: 54.8 (consensus 53.8, prior 54.1)
Order intake: 58.1 (prior 55.8)
Production: 56.0 (prior 57.5)
Employment: 52.8 (prior 51.4)
Inventories: 49.5 (prior 49.9)
Production plans 6 months ahead: 62.0 (prior 60.3)
Nordea