South Africa Factory Mood Surges to Near Two-Year High [BNN Bloomberg (Canada)]
ABSA GROUP LTD S/ADR (AGRPY)
NASDAQ:AMEX Investor Relations:
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Source: BNN Bloomberg
Absa Group Ltd.'s purchasing managers' index, compiled by the Bureau for Economic Research, exited contraction territory and climbed to 54 in April, compared with 49.2 the prior month. Analysts surveyed by Bloomberg expected the index to edge to 50.5. The headline index was largely propped up by improved business activity, which surged to 57.2, from 44.5 the previous month and domestic sales orders. “More than 30 days of no load-shedding has likely supported business conditions in the factory sector,” the lender said. “In this regard, Eskom has announced that there has been sustained improvement in generation by the coal-fired plants, sufficient emergency reserves, and lower demand for Eskom power.” South African businesses have battled almost daily power cuts — known locally as loadshedding — for more than a year because state-owned utility Eskom Holdings SOC Ltd. was unable to meet demand due to poor maintenance and aging power plants. Still, manufacturers were less optimis
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