Analysts expect pick-up in July industrial output
KUALA LUMPUR: After the robust export number for July, economists are expecting industrial output to also show a pickup in the month.
A poll showed an average 5.6 per cent growth expectation, a jump from the four per cent growth in June.
The Statistics Department will release the industrial output as well as manufacturing sales report today.
Moody’s, in a report, described Malaysia’s manufacturing as a bright spot.
“This is, thanks to strong global tech demand and Malaysia’s exposure, given its large integrated circuit sector.”
This, it said, is helping offset softness and volatility in the petroleum, chemical and rubber sector, which is struggling with softness in commodity prices, especially in crude.
“Food and beverages are expanding at a decent clip and are a good barometer of domestic demand, which is hovering around where we estimate the potential to be.”
It said the industrial production index likely picked up in July to 4.3 per cent. Rupa Damodaran