Signs of recovery broaden in Asia - AmpGFX

Greg Gibbs, Director at Amplifying Global FX Capital, notes that China’s Caixin services PMI that reflects more private-sector firms (released on Wednesday 4 Jan), rose to 53.5 in Dec, a high since July-2015 (17 months). 

Key Quotes

“The government non-manufacturing PMI (released on Sunday 1 Jan) dipped in Dec to 54.5 from a high in November since June 2014, but was still a relatively robust result.”

“The Indian services PMI failed to recover much from its slump in November triggered by disruption created by the government’s poorly implemented currency note replacement intended to crack-down on the black market.”

“China’s Caixin manufacturing PMI (released on Tuesday 3 Jan) rose to 51.9 in Dec, stronger than 50.9 expected) a high in over three years of data available on Bloomberg since Sep-2013. China’s government PMI (released on Sunday 1 Jan) that includes more state-owned enterprises dipped to 51.4 from its high in November since July-2014.”

“A rapid recovery in the Taiwanese PMI in the last two months to a high in at least three-years of 56.2. A solid recovery in the Korean PMI to 49.4 in Dec.  However, the Indian PMI slumped for a second month to a low in 12 months of 49.6 from a high in October since Dec-2014 of 54.4. (Most Asian PMIs released on Tuesday/Wednesday 3/4 Jan).”

“The Malaysian and Indonesian manufacturing PMIs were less impressive than their northern Asian neighbours.  And the Philippines, while at a stronger level, was down for a third month in December.”

“Singapore’s electronics PMI continued its recovery from a low early last year to a high in December of 49.5 since October 2014. Its overall manufacturing PMI has followed suit, albeit rising more gradually, to a high of 50.6 in Dec since Nov-2014.  The Nikkei sponsored Singapore PMI dipped in Dec to 52.0.”

“The highly erratic Australian manufacturing PMI that has risen from a low last year in August of 46.9 to a 55.4 in December, a high since July.”