(RTTNews) - Monday, the Australian Industry Group and PricewaterhouseCoopers announced that the Australian Performance of Manufacturing Index stood at a seasonally adjusted 51.7 in October, down slightly from 52.0 in September. A reading above 50 indicates expansion, while one below 50 suggests contraction. October marks the third successive month in which manufacturing activity has expanded.

Six of the twelve sub-sectors including transport equipment, basic metal products, construction materials, clothing & footwear, textile and miscellaneous manufacturing, expanded in October.

The production sub-index fell to 53.0 from 56.0 in the previous month, but remained in expansion territory on the back of higher new orders and low inventory levels. Capacity utilization fell 3.2 percentage points to 70.4% in October. At the same time, new orders expanded for the third straight month, with the corresponding sub-index surging to 57.7 from 51.0.

However, employment levels in the manufacturing sector fell for the twenty second consecutive month, declining 5.1 points to 44.6 in October. The average wages sub-index stood at 53.9 in October, down from 57.0 in the preceding month.

Further, the inventories sub-index fell 2.4 points to 49.4 in October. Input price inflation eased slightly, with the corresponding sub-index at 55.9 compared to 57.1 in the previous month, while the output price sub-index fell to 47.0 from 51.1.

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Posted in Categories: Australia, Economy, Releases.

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