The mood among Dutch manufacturers has improved further according to Statistics Netherlands. The producer confidence indicator has risen from 4.1 in May to 4.6 in June, the highest level in more than four years. The improvement in June is largely due to the fact that Dutch manufacturers are far more positive about their future output in the next three months.
In June 2015, confidence among manufacturers is considerably above its long-term average in the past two decades (0.4). In January 2008, the indicator reached an all-time high of 9.4, but dipped to an all-time low of - 23.5 just over one year later.
Manufacturers clearly more positive about future output
In June, manufacturers were far more positive about their future output in the next three months. They were also somewhat more optimistic about their order books. On the other hand, manufacturers were less positive about their stocks of finished products.
All component indicators of producer confidence are positive. Manufacturers anticipating that their output will decrease in the next three months are outnumbered by those expecting their output to grow. Given the time of year, manufacturers who think their order portfolio is large prevail over those who think it is small. The number of manufacturers who think their stocks of finished products are too small (positive) in view of projected sales outnumbered those who think their stocks are too large (negative).
For more information on economic indicators, see the Economic Monitor.