The manufacturing sector in Australia continued to contract in September, and at a faster rate, the latest survey from Judo Bank revealed on Monday with a manufacturing PMI score of 48.7.
That's down from 49.6 in August, and it moves further beneath the boom-or-bust line of 50 that separates expansion from contraction.
Incoming new orders within the manufacturing sector shrank for a tenth straight month in September, attributed to softer market conditions and high interest rates. Foreign demand likewise deteriorated as economic conditions in key export markets worsened.
Consequently, production levels fell at an accelerated rate in September and for the tenth consecutive month. The decline was only mild, however. This was partly reflective of manufacturers working through their backlogs, clearing work-in-hand at a faster pace in the latest survey period.
