BRUSSELS (dpa-AFX) - Dutch manufacturing activity at an accelerated pace in February despite subdued underlying demand, survey data from S&P Global showed on Monday.
The headline Nevi Manufacturing Purchasing Managers' Index rose to 50.8 in February from 50.1 in January. A reading above 50 indicates expansion.
Total new orders fell for the second successive month amid a renewed decline in international orders, which contracted at the strongest pace in almost a year. Nonetheless, the overall decline was marginal.
On the contrary, production growth accelerated to a three-month high as firms were often working on existing orders or new projects. Employment also increased for the third successive month, though the rate of job creation was only slight.
On the price front, input price inflation rose to a nearly 1-year high due to higher costs for raw materials, including metals, and in wage bills. A substantial rise in input costs and weak underlying demand led firms to reduce their buying levels and stocks. Consequently, selling price inflation climbed to the strongest in eleven months.
Looking ahead, Dutch manufacturers remained optimistic about output expectations over the next year, buoyed by positivity towards stronger pipelines of work, future product launches, and marketing efforts.
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