Australia AiG Construction PMI for May: 47.8
- prior 47.0
Key points:
- PCI has now been below 50 (i.e. in contraction) for 6 he past 7 months
- AiG cite on-going declines in mining-related engineering construction and commercial construction
- "The milder decline in the Australian PCI in May was due to less pronounced reductions in new orders and employment while activity moved very close to stabilisation
- However, deliveries from suppliers contracted at a steeper rate with businesses attributing this to the overall sluggish demand conditions
- Activity in the house building sector turned negative for the first time in three months
- A steeper rate of decline was evident in apartment building activity
- Engineering and commercial construction continued to contract in response to the scaling back in major project activity, although for both sectors rates of declines moderated from April
