Singapore’s S&P Global PMI eased to 56.7 in May 2026, down from April’s near four-year high of 57.9. Despite the moderation, the reading signalled a 16th consecutive month of expansion in private sector activity, with output growth quickening to a three-month high.
New orders rose at the second-fastest pace on record, even after cooling from April, highlighting the resilience of underlying demand. Employment, however, declined for a second straight month, reflecting cuts to temporary staff and voluntary resignations, even as firms ramped up purchasing at a record rate, in some cases building inventories in anticipation of future demand.
On the price front, input cost inflation climbed to a survey high, fuelled by higher supplier prices, increased fuel and transport costs, and a record jump in wages. Purchase cost inflation remained elevated at its third-highest level on record. However, firms were more cautious in passing these higher costs on to customers: output charge inflation eased to a four-month low, though it remained steep by historical standards.
Business sentiment stayed positive overall but softened compared with April’s elevated readings.
