Purchasing Managers Index (PMI) experienced a third consecutive decline during May

| 0 Comments
PMI June 2010.jpgThe seasonally adjusted Kagiso PMI experienced a third consecutive decline during May, falling by another 4.1 index points to reach 51.1. The Kagiso website reports that while the level of the index continues to indicate that the factory sector is expanding, the latest reading is the most declined since November 2009 and suggests that the pace of manufacturing production has eased in recent months.

"With the exception of the inventory index, the other key sub-indices used in the calculation of the headline PMI all lost ground in May. The biggest disappointment was factory job market developments with the employment index declining by 8.9 points to fall below the key 50 mark for the first time in 2010.

"Also concerning is the fact that the seasonally adjusted business activity index, which most closely tracks actual manufacturing output, eased for the third month in succession to 49.0, i.e. a level that indicates that the growth in factory production ground to a halt in May. While the May data raise some red flags about the manufacturing sector outlook, it may just be that the Transnet strike that hit the economy in the second half of the month can to a degree help explain the weaker figures.

"Having said that, the unadjusted business activity index actually rose slightly (by 0.5 index points) to 48.6, which at first glance raises some doubt about the impact of the strike. However, history suggests that the average rise in the (unadjusted) business activity index during May [1] is four times (2.25 points) the gain posted in May 2010. Even measured in this way, there may be some evidence that the Transnet labour action could have had a once-off adverse impact on the latest numbers.

The PMI Report for May can be accessed here...

André Coetzee, Kagiso Securities
Tel: (011) 341 3240

Hugo Pienaar, Bureau for Economic Research
Tel: (021) 887 2810

1 June 2010

Leave a comment


 

 

Career opportunites

Tutor and Coordinator

  • Gauteng Operations, Planning & Inventory Permanent Procurement Management Supplier / Business Development
Purpose of the job: To plan, coach, advise

Commodity Manager

  • <500 000 Commodities Gauteng Procurement Management
Are you a Commodity Manager looking for the

Supply Chain Professional

  • <500 000 Gauteng Procurement Management Supply Chain
I specialize in placing professionals in the Supply

Supply Planning

  • <500 000 Gauteng Operations, Planning & Inventory Supply Chain
Seeking dynamic candidates to take to the market

Industrial Engineer

  • <500 000 Gauteng Industrial Engineer Procurement Consultant
Are you an Industrial Engineer looking to make

Logistics Manager

  • >500 000 Gauteng Logistics & Warehousing Supply Chain
Seeking vibrant industry specific individuals seeking new opportunities

Operations Manager

  • <500 000 Gauteng Operations, Planning & Inventory Procurement Management
Looking for an Operations Manager to take into

Supply Chain Systems Administrator

  • >500 000 Gauteng Procurement Management Strategic Sourcing Supply Chain
One of South Africa's leading, mining companies is

Logistics Manager

  • <500 000 Gauteng Logistics & Warehousing Procurement Management
Are you an experienced Logistics Manager looking for

Continuous Improvement Manager

  • >500 000 Gauteng Procurement Management Supply Chain
I specialize in placing professionals in the Supply

Warehouse Assistant

  • <500 000 Gauteng Logistics & Warehousing Operations, Planning & Inventory
I am currently looking for ambitious Demand Planner,

Internal Procurement Officer

  • <500 000 Gauteng Permanent Procurement Officer / Specialist Strategic Sourcing
Position Available: Internal Procurement Officer Status : New ...More

Supply Chain Officer

  • <500 000 Gauteng Procurement Officer / Specialist Supply Chain
Seeking dynamic candidates to take to the market

Supply Chain Planner

  • <500 000 Free State Operations, Planning & Inventory Supply Chain
Seeking dynamic candidates to take to the market

Senior Buyer

  • >500 000 Buyer Gauteng Procurement Management
Tech-Pro specialises in placing professionals in the Supply

Industrial Engineer

  • <500 000 Gauteng Industrial Engineer
Tech-Pro specialises in placing professionals in the Supply

Warehouse Manager

  • >500 000 Gauteng Logistics & Warehousing Operations, Planning & Inventory Supply Chain
Seeking hands on individuals that come from an

Manufacturing Purchasing Specialist

  • >500 000 Procurement Officer / Specialist Supply Chain Western Cape
A leading auto manufacture company based in Cape

Procurement Sourcing Specialist

  • <500 000 Gauteng Procurement Consultant Strategic Sourcing
A Leader in the Supply Chain industry is

Planning Manager

  • >500 000 Gauteng Operations, Planning & Inventory Procurement Management
Looking for Planning Managers to take into the