Australia preliminary August PMI: Manufacturing 48.7(prior 47.5) Services 52.2(prior 50.4)Preliminary Judo Bank S&P Australian Manufacturing PMI 48.7
Services 52.2
Composite 51.4
The Australian Flash PMI shows improved activity, rising costs in August
- Composite output index up, services sector jumps, manufacturing still weak
- Economy expanding in Q3, labour demand rising
- Service sector input prices hit highest level since March 2023
- Final prices index dipped, suggesting difficulty in passing on costs
- Inflation risks persist despite weak economic growth
- New fiscal stimulus and less restrictive monetary policy raise concerns
- RBA may need to hike further before easing cycle can begin
The bottom line comment, IMO, from the analysis in the report is this:
- Market pricing for RBA rate cuts "perplexing" given current conditions
AUD/USD up a few tics:
This article was written by Eamonn Sheridan at www.forexlive.com.
Source: Australia preliminary August PMI: Manufacturing 48.7(prior 47.5) Services 52.2(prior 50.4) (https://www.forexlive.com/news/australia-preliminary-august-pmi-manufacturing-487prior-475-services-522prior-504-20240821/)
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