Singapore PMI contraction will stay longer in 2023

The index edged up 0.1 in January.

Singapore's manufacturing sector’s purchasing managers’ index in January slightly improved but remained under contraction to 49.8 from 49.7 in December.

UOB sees that such numbers will remain under contraction for the first three months and even longer since most sub-indices in the surveys continue to shrink. 

Some key metrics in the electronics segment posted slower contraction including electronics new orders, exports, output, inventory, finished goods, and backlog orders index. 

The electronics employment index, however, improved slightly. 

The electronics deliveries index slipped lower to 50.8. The electronics input price index eased further to 50.5, indicating further easing of supply chain disruptions and weaker demand.