| Consensus | Consensus Range | Actual | Previous | |
| Composite Index | 49.3 | 49.0 to 49.9 | 48.8 | 49.6 |
| Manufacturing Index | 50.0 | 50.0 to 50.1 | 51.5 | 50.0 |
| Services Index | 49.9 | 49.7 to 50.0 | 48.4 | 49.8 |
Highlights
The composite index fell to a two-month low and remains in contraction at 48.8 in August compared to 49.4 in July. Economists in an Econoday survey were expecting a result of 49.3. The preliminary results were mixed between the services and manufacturing sectors.
Among the components of the index, demand for goods and services fell more rapidly while employment contracted and business confidence was weaker. On a positive note, input price increased at their slowest pace in five months.
Services fell to 48.4 in August from 49.6 in July, while manufacturing rose to 51.5 from 49.8. The Econoday medians were 49.9 and 50.0 respectively.
The unresolved conflict in the Middle East continues to weigh on businesses with weak order books, while at the same time firms were working through their order backlogs. While able to maintain some degree of activity, it is a troubling sign that both foreign and domestic demand continues to remain subdued.
Market Consensus Before Announcement
The composite index is expected at 49.3 in the August flash versus 49.4 in the July final.