Production further shrinks in October in Singapore

Illustrative image (Photo: AFP)

Singapore (VNA) – Singapore’s overall factory activity sank further in October, data from the Singapore Institute of Purchasing and Materials Management (SIPMM) has shown.

The Purchasing Managers’ Index (PMI) dipped a further 0.2 point to post a second straight month of contraction at 49.7 in October.

A reading below 50 on the index indicates contraction from the previous month; one above 50 means growth. The October’s reading was attributed to a faster contraction in the key indices of new orders, factory output and inventory, SIPMM said.

The electronics PMI slid 0.3 point to 49.1 as a result of a sharper contraction in the key indices of new orders, new exports, factory output, inventory and employment.

According to analysts, uncertainties in the global trade environment, coupled with mounting cost pressures, are weighing on demand despite the year-end festive season./.