Nikkei Malaysia data show recovery in August manufacturing sector

The worst is over for the sector as the glove makers are poised to record sequentially stronger earnings.

PETALING JAYA: Improving business sentiments and rising exports helped in stoking recovery of the Malaysian manufacturing sector in August, according to data from the Nikkei Malaysia manufacturing purchasing managers’ index (PMI).

The PMI rose to 50.4 from a contraction of 48.3 in July, registering the first expansion of production and overall improvement in operating conditions since April despite total new orders continuing to decline. Rising exports helped to balance out the continued decline in new orders while business optimism was at its highest since December 2013.