Global Manufacturing PMI Declines in September as Lead Times Lengthen
In October, growth in global manufacturing activity moderated from September, decreasing from 53.0 to 52.6, a two-month low. Output and new orders both grew at slightly slower rates than the prior month. Meanwhile, lead times lengthened sharply as new export orders increased for the third consecutive month. Employment expanded for the fourth straight month in October, and stocks of purchases decreased slightly as companies looked to restrict backlogs from worsening.
Thailand, India, Indonesia and Austria had the highest PMI readings in October. On the other hand, Russia, Canada and Australia were some of the larger nations to register declines in activity. Manufacturing production increased across consumer, intermediate and investment goods, with intermediate goods recording the strongest growth.
Input and output price growth accelerated in October amid material shortages and vendor delivery delays. Despite continued activity growth and strong demand indicators, business confidence about future output remained weak.
