Japan Manufacturing PMI: Input price inflation eases to 4-month low

Nikkei Japan Manufacturing PMI released today showed the pace of expansion in the activity rose to the highest level since February, while the input price inflation eased to 4-month low. 

The report says, “The headline Japan Manufacturing Purchasing Managers’ Index (PMI) a composite single figure indicator of manufacturing performance - recorded a level of 53.1 in May.

That was up from April’s 52.7 and above the 50.0 no-change mark for a ninth successive month.”

Key points

Input price inflation eases to four-month low

Inflation of output charges has now been recorded for five months in succession, the longest such run since a similar sequence ended in January 2015 

Positive forecasts for demand and preparations for the 2020 Olympics Games are expected to bolster activity

Production has now increased for ten months in succession, while new orders rose for the eighth successive survey period