Home›Forex›EM Currencies›Australia Composite PMI rises to strongest expansion s…

Australia Composite PMI rises to strongest expansion since January

The S&P Global Australia Composite PMI increased to 53.2 in July as new orders stopped declining, while input cost inflation eased but output prices continued to rise.

Reported · Written up by our desk · EM Currencies

Australia’s private sector gained momentum at the start of the third quarter, with services driving a broad-based improvement in business activity, according to a survey by S&P Global reported by Action Forex.

The Australia Services PMI rose to 53.6 in July from 50.5 in June, the highest level in six months, while the Composite PMI advanced to 53.2 from 50.4, marking the strongest expansion since January.

Manufacturing returned to growth for the first time in six months, and the pickup was supported by a renewed expansion in new orders that ended four straight months of declines. Domestic demand helped lift business activity, but export orders continued to contract, pointing to still-weak external markets.

Firms also became more optimistic, raising staffing levels at a faster pace as confidence improved. Despite the stronger growth signals, Action Forex noted that inflation remains a key concern, with input cost inflation easing but companies accelerating output price increases, alongside uncertainty tied to developments in the Middle East.

More like this

Sources