Dubai PMI remains strong on sharp rise in consumer sales

Arab News: The Dubai Price Managers’ Index slipped slightly in April to 54.7 from 55.5 the previous month but stayed well above the 50 no-change mark, as new order levels across the non-oil economy continued to increase, according to S&P Global.

Despite losing momentum for the first time since January, the index signaled an improvement in the non-oil activity in Dubai, which was the second quickest since July 2019.

The output index remained the strongest drivers of the Dubai PMI, which in April indicated a sharp rise in consumer sales as business conditions continued to recover from COVID-19 measures.

The growth in the output was seen in all three of the sub-sectors covered by the survey data, but was mostly noticeable in the wholesale and retail category, with travel and tourism easing slightly from its post pandemic highs in March.

Despite rising demand and output levels, employment numbers dropped for the first time in five months as Dubai firms refrained from increasing staff capacity.

The increasing prices in fuel and raw material were absorbed by Dubai companies and were not passed onto the customer in an attempt to secure new businesses and remain competitive.

The level of optimism for future activity was slightly higher in April – but remaining lower than historical trend — on expectation that sales will continue to rise.

The rate of stock accumulation was the joint-fastest since August 2020 supported by continued rise in sales expectations, and on improvement in supplier delivery times.

https://www.arabnews.com/node/2082486/business-economy

Arab News.com Contribution Time: 16-May-2022 08:47 (GMT)
Arab News.com Last Update Time: 16-May-2022 08:49 (GMT)