SINGAPORE (ICIS)--au Jibun Bank’s flash manufacturing purchasing managers’ index (PMI) for Japan dipped to 52.5 in May from 53.6 in April amid a drop in both output and new order growth, the Japanese bank said on Friday.
A PMI reading above 50 indicates an expansion in the manufacturing economy.
Output fell at the quickest pace for four months, while the contraction in new business inflows was the fastest since February.
The deterioration in business conditions was attributed to a resurgence in COVID-19 cases and the reimposition of state of emergency measures.
"Manufacturers remained confident in taking on additional staff as job creation continued for the second successive month," au Jibun Bank said.