Australia PMI Manufacturing rose from 55.1 to 57.6 in February. PMI Services jumped from 46.6 to 56.4, an 8-month high. PMI Composite rose from 46.7 to 55.9, also an 8-month high.
Jingyi Pan, Economics Associate Director at IHS Markit, said:
“The Australian economy bounced back quickly in February, according to the IHS Markit Flash Australia Composite PMI, after contracting sharply at the start of 2022, hit by the COVID-19 Omicron wave.
“Demand and output both returned to growth, boding well for hiring activity in February. That said, shortages of input materials and labour persisted as issues for private sector firms. This led to input prices continuing to increase sharply while selling price inflation hit a record according to the latest PMI survey. While this perhaps comes as no surprise in the initial recovery phase from the latest COVID-19 wave, the lingering impact on overall inflation and wages will have to be closely followed.
“Business confidence amongst private sector firms improved once again in February after briefly dipping in January, reflecting the short-lived nature of the latest COVID-19 wave, which was a positive sign.”
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