Singapore PMIs for November will continue to paint a gloomy outlook for the manufacturing sector. Consensus is expecting both overall manufacturing and electronics PMIs to remain underwater at 49.0 and 48.8 respectively. This shouldn't come as a surprise at all since the external environment remains volatile and consumer sentiments have been weak. These explain a cautious approach in production by manufacturers over the past months. Plainly, there has been a lack of positive catalyst in the horizon to support stronger production levels.
In fact, there is downside risk to the headline number. Despite the "lift" from the supposedly stronger festive season demand, the PMIs have been sub-par for the past four months. So, given that the festive season effect on production is drawing to an end in November, chance is high that the final outcome could under-perform expectation. Fingers crossed that it won't be too awful.
