PMI rebound in May exaggerated by weak April print

The Steel and Engineering Industries Federation of Southern Africa (Seifsa) and the Manufacturing Circle have welcomed the rebound in the Absa Purchasing Managers Index (PMI) to 51.5 index points in May, up from the 44.7 index points recorded in April.  Seifsa senior economist Tafadzwa Chibanguza said the fact that the index has rebounded to an expansionary level is a good indication of a return to the expected level of manufacturing, relative to the underpinning dynamics in the economy.