ABSA PMI down for 8th straight month

The ABSA Purchasing Managers' index slumped for an eighth month in September, weighed down by weak demand and lower production. The index declined by 4.3 points, to 45.4, as new sales order plunged by 10 index points on lower exports. The production measure also slumped, losing 8.1 index points. ABSA analysts said the lower output levels could see the manufacturing sector contracting in the third quarter, further weighing on overall economic growth. Joining CNBC Africa to unpack this further is Andiswa Mdingi, Macroeconomics SA, ABSA.