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Financial News: Dutch Factory Sector Growth Remains Robust In April

Dutch Factory Sector Growth Remains Robust In April

05/01/2017 - 05:51:00 (RTTNews)

(RTTNews) - The Netherlands' manufacturing sector retained its solid growth momentum in April, supported by strong gains in output and new orders that led to a steep rise in employment and boosted confidence, survey data from IHS Markit revealed Monday.

The Dutch NEVI Purchasing Managers' Index for the manufacturing sector was 57.8 in April, unchanged from March. A score above 50 suggests growth in activity.

The reading was markedly above the historical average and extended the current sequence of improving business conditions to almost four years, the survey said.

Output growth eased slightly but remained strong and was broad-based with the intermediate goods category logging the biggest gain among the three sub-sectors.

New order growth slowed to its weakest level in three months, though export orders growth remained strong, underpinned by demand from Europe and Asia.

Employment growth was in line with increased demand and close to February's six-year high.

Both input and output price inflation figures eased. Input price inflation slowed to a four-month low.

Output prices inflation ended its five-month accelerating trend, but companies passed on the rising cost burdens to customers through price hikes.

Confidence among Dutch manufacturers remained strong, despite easing slightly in April. Upward economic trends, planned business investment and new product launches were the supporting factors.

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