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Financial News: Japan Manufacturing Growth Remains Robust In October

Japan Manufacturing Growth Remains Robust In October

11/01/2017 - 00:06:00 (RTTNews)

(RTTNews) - Japan's manufacturing activity continued to expand strongly in October, underpinned by solid expansions in output, new orders and employment, survey data from IHS Markit showed Wednesday.

The Nikkei Manufacturing Purchasing Managers' Index, or PMI dropped marginally to 52.8 in October from 52.9 in September. However, any reading above 50 indicates expansion in the sector.

Expansionary trends continued in output and new orders in October. The rate of job creation picked up from September's ten-month low in line with production requirements.

On the price front, input price inflation accelerated slightly to a 6-month high in October, led by higher raw material prices.

As a result, companies raised output charges, with inflation accelerating to the joint-fastest since November 2014.

Firms remained firmly optimistic regarding future output expectations. The level of positive sentiment weakened to the lowest since November 2016.

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