August manufacturing output shrinks

KUALA LUMPUR: The headline IHS Markit Malaysia manufacturing Purchasing Managers’ Index (PMI) rose to 43.4 in August from 40.1 in July, indicating a sharp deterioration in the health of the sector, but one that was softer than those recorded over the prior two months.

“Looking at the historical relationship between the PMI and official statistics, the latest reading is representative of a moderation in manufacturing production and broadly stagnant GDP, as the survey pointed to the ongoing impact of the Covid-19 pandemic on the economy,” IHS Markit said in a statement.