Australia preliminary February PMI: Manufacturing 50.1 (prior 50), Services 49.2 (48.6) | Forexlive

Some of the comments from Warren Hogan, Chief Economic Advisor at Judo Bank:

• “We still appear to be on the narrow path to achieve a soft landing for the economy in 2023.
• “Labour demand also eased in February across both the services sector and manufacturing industries. Overall labour demand remains in positive territory consistent with the hoarding of labour as the economy slows. This should keep unemployment low even as economic policy makers induce a necessary economic slowdown in 2023/24.
• “Prices pressures eased further in the service industries yet remain elevated, while manufacturing price indicators barely moved in February. Despite the moderation, the price indicators continue to point to above target inflation in 2023.
• “The February numbers highlight a further improvement in supply chain function within the Australian economy.
• “At this stage the Judo Bank PMIs are pointing to a welcome slowdown in the economy that may help take upward pressure off interest rates. While this will do little to alter the RBA’s intentions to raise interest rates further over the months ahead, it does indicate that we may be close to the point where the RBA Board can pause the current tightening cycle.”