Cautious near-term manufacturing outlook

The manufacturing PMI is a measure of the prevailing direction of economic trends in manufacturing. A reading above 50 signals expansion while less than 50 means a contraction. In July, the domestic manufacturing activities remained in the contraction territory for the second month, as the manufacturing PMI stood at 40.1 compared with 39.9 in June.

PETALING JAYA: The near-term outlook for Malaysia’s Manufacturing Purchasing Managers’ Index (PMI) is set to be weighed down by the emergence of stronger Covid-19 variants and the delay of phase one of the National Recovery Plan (NRP).

The manufacturing PMI is a measure of the prevailing direction of economic trends in manufacturing. A reading above 50 signals expansion while less than 50 means a contraction.