Australia Manufacturing Gains Momentum in July

The S&P Global Australia Manufacturing PMI rose to 51.6 in July, up from 50.6 in June, flash data showed. New orders for manufactured goods also saw a renewed increase, contributing to the sharpest overall rise in new business in over three years. Despite this improvement, export orders in manufacturing continued to contract, though the decline was less pronounced than in June. To meet rising demand, manufacturers added staff, supporting a further reduction in backlogged work. Input cost inflation in the sector eased slightly, but overall prices charged still rose as firms passed on some cost pressures to clients. Purchasing activity declined for a third straight month, and inventories of inputs were drawn down. Overall, the data reflected a solid pickup in manufacturing momentum, though firms remained cautious amid global uncertainty.