PMI Slips On Coronavirus Woes

Data from IHS Markit showed manufacturing PMI fell to 57.6 in June from 62.0 previously. Commenting on the latest survey results, Annabel Fiddes, Economics Associate Director at IHS Markit, said: "PMI data indicated that growth momentum softened across Taiwan's manufacturing sector at the end of the second quarter, with output and new orders both rising at the softest rates since last August. Companies stated that the recent rise in COVID-19 cases in the region and severe supply chain disruption weighed on production and sales, with the survey showing delivery times for inputs increasing at one of the quickest rates on record. "To help control the virus the current Level 3 COVID-19 alert, which includes school closures, restrictions around gatherings, and a shift to remote working or staggered work schedules, has now been extended to mid-July. These guidelines, along with ongoing difficulties obtaining inputs, means that growth of the sector could cool further until conditions normalise."