Chart of the Day: Finally, here's some good news from Singapore's tech sector

Stronger orders give clue to PMI rebound.

According to CIMB, due partly to a holiday-shortened month, PMI was expected to dip slightly in Aug. However, the 1.3-pt mom dip to 50.5 was larger than expected.

CIMB said that the better news is that stronger orders point to a rebound in Sep’s PMI, so is a better-than expected tech PMI reading.

"On the back of stronger orders and output, Aug’s tech PMI added 1 pt to 51.3 (-0.2 pt in Jul), its best reading in three months. While the tech picture is encouraging, overall manufacturing is still mixed," CIMB said.

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