BANGKOK, July 1 (Xinhua) -- Thailand's manufacturing sector improved for a second straight month in June as new and export orders both expanded at quicker rates despite stalling employment, a survey showed on Tuesday.
The Southeast Asian country's manufacturing purchasing managers' index (PMI) came in at 51.7 last month, edging up from 51.2 in May, marking the strongest upturn since last August and signaling a continued improvement in operating conditions, according to S&P Global.
A PMI reading above 50 indicates expansion in the manufacturing sector, while a reading below 50 reflects contraction.
Increased new work inflows, including orders from overseas, supported a significant pickup in growth momentum for output, contributing to the first expansion of purchasing activity in four months, S&P Global said in a statement.
Although the manufacturing sector improved at an accelerated rate, goods producers exhibited greater caution due to declining optimism and stagnant employment, said Jingyi Pan, economics associate director at S&P Global Market Intelligence.
Stocks of finished goods dropped fractionally after rising for two consecutive months as firms became less inclined to maintain excess inventory for sales, Pan said.
"These indicators suggest that things are not in the clear yet despite the more positive picture painted on the headline level," she noted. ■