Dutch manufacturers became somewhat more optimistic in May. Producer confidence in the manufacturing industry was 3.7 in May, as against 3.0 in April. Prior to this marginal improvement, producer confidence had declined for three months in a row. The mood among manufacturers is still positive, but they are less optimistic than early this year.
Producer confidence consists of three component indicators: expected output in the next three months and producers’ opinions about their stocks of finished products and about their order books.
Manufacturers were slightly more optimistic in May with respect to their future output than in the preceding month. They also evaluated their order positions more positively. Their opinions on the stocks of finished products did not change.
In May, the number of manufacturers reporting an increase in orders received outnumbered those reporting a decline. The order position index (orders received expressed in months of work) increased to 116.4, the highest score in seventeen years.
Manufacturers remained positive about employment. The number of manufacturers expecting they have to recruit more staff has outnumbered those expecting to have to cut down on staff for almost eighteen months now.
Producer confidence in manufacturing industry