Indonesia's PMI rises to record high on new orders
Published on Jun 2, 2014 12:06 PM
JAKARTA (Reuters) - Indonesian manufacturing activity surged to a record high in May, driven by unprecedented growth in new orders, an HSBC Markit purchasing managers' index (PMI) survey showed on Monday.
The index rose to 52.4 in May from 51.1 the previous month, the highest reading since data collection began in April 2011. A reading above 50.0 signals expansion.
New orders increased to the highest level on record, as companies signaled increasing levels of new work, strengthening demand and successful launches of new products in Southeast Asia's largest economy.
"In the months ahead, a persistence of the trends seen in the May PMI would signal that the policy-induced slowdown in domestic activity is starting to bottom out," said Su Sian Lim, economist at HSBC.