- New upturn for Norwegian PMI – OBI Online

The Norwegian purchasing manager index (PMI) rose from 53.8 to 54.8 in July, according to figures from NIMA and Danske Bank.

Not since March 2012 figures have been so strong. It was mainly output and employment index contributed to the increase.

– That the positive figures we experienced in June now been strengthened further shows that the positive trend for the industry continues. Historically, the month of July subject to some uncertainty tied to and fewer respondents, but the positive PMI developments will result from several sources, says Svein-Egil Hoberg in NIMA – Norwegian Association of Purchasing and Logistics.

No Brexit-impact

According to the message sees it thus does not appear that skepticism the international monetary Fund (IMF) put forward in mid-July appears to have influenced Norwegian industry significantly.

– uncertainty that the IMF has signaled regarding global economic growth, mainly due Brexit, have clearly not contributed to the reduction in expectations among Norwegian purchasing managers, said Hoberg, who is now looking forward to upcoming PMI readings.

– It will be interesting to monitor developments in the coming months as we always have to take into account that measurements are more uncertain in the summer months due to the holiday, he said.

Sub-indices

the production index rose from 54.4 to 56, 3 this month and is now at its highest since August 2013. Employment index jumped from 47.9 to 49.4.

– this is the highest value since the dismissals in oil-related industries accelerated in autumn 2014. Developments in both production and employment supported by the latest figures from the Statistics Norway’s business tendency survey and NAV, says Hoberg.

the order index rose from 59.1 to 59.2.

– the marginal increase in the orders index signals a strong expectation among procurement professionals. Orders index has not been this high since the end of 2010 / early 2011, says Hoberg.

The sub-index indicating vendors’ delivery had increased to 55.3. Stock index is the only one of the five sub-indices which declined this month, from 48.3 to 47.9.

– increase in the index for delivery from suppliers and decline in the index for stocks of purchased goods supports the positive the growth in the PMI index, commenting Hoberg.