(RTTNews) - The manufacturing sector in Japan continued to contract in September, and at a faster rate, the latest survey from Jibun Bank revealed on Tuesday with a manufacturing PMI score of 49.7.
That's down from 49.8 in August and it moves further beneath the boom-or-bust line of 50 that separates expansion from contraction.
Output fell for the second time in three months at the end of the third quarter, with the respective seasonally adjusted index only fractionally below the neutral 50.0 threshold. Firms often indicated a lack of incoming new business as a result of economic weaknesses. However, this was partially offset by firms opting to complete outstanding orders.
As a result, backlogs of work fell at moderate pace that extended the current sequence of depletion to two years. The level of new orders placed with Japanese manufacturers also fell in September, and at a moderate pace that was little changed from that in August.
