Dutch Factory Sector Rebounds Modestly In September

Dutch Factory Sector Rebounds Modestly In September

The Dutch manufacturing sector returned to growth in September, after contracting for six months in a row, data from a survey by Markit Economics and NEVI showed Monday.

The seasonally adjusted purchasing managers' index (PMI) for the manufacturing sector advanced to 50.7 in September from 49.7 in August. The latest reading was the first time since February in which the index has been above the no-change 50 mark that separates growth from contraction.

New orders received by Dutch manufacturers increased in September, with export orders growing at a considerably faster pace than total new work. In line with the rise in orders, production also increased notably during the month.

Input prices in the sector increased for the first time in four months during September, and the rate of inflation was marked. In contrast, output prices continued to decline with competitive pressures weighing on firms' pricing power.