An article by Bernama highlights that the Malaysian industrial production index falls 0.2%:
KUALA LUMPUR, April 9 (Bernama) — The Industrial Production Index (IPI) for February 2007 fell 0.2 per cent to 123.0 compared with 123.2 in February last year. [February Industrial Production Index Down 0.2 Pct. Bernama. April 9 2007]
While true, the magnitude of drop from the previous month is actually 7.2%:
Compared with the index of 132.5 in January 2007, the IPI for February 2007 dropped 7.2 per cent. [February Industrial Production Index Down 0.2 Pct. Bernama. April 9 2007]
Is this bad news?
Without more information, I cannot really say. From the look of it, through limited data, it seems like seasonal fluctuation and nothing more though. I however am tempted to link the decrease to the fall in demand for electronics in the US.
Regardless, this is how the index looks like at the Department of Statistics of Malaysia:
What do you think?
p/s — okay. I forgot about seasonal adjustment. Now, I am embarrassed.
2 replies on “[1167] Of a fall of 0.2% or 7.2%?”
Chinese New Year Holidays had a hand in the drop – happens every year during that period.
As for the fall in demand from the United States, any impact arising from that will depend on whether demand continues to lessen over time.
And would play into your pretty astute assertion that US demand would fall and dampen Malaysia’s economic growth for 2007.
Hey, nice writes. You’re getting really really socioeconomic in your postings, what happened to that bleeding heart of yours?
Anyway, I miss hanging with you. Perhaps we should meet one day; I’m currently in Penang on a work hiatus. Hit me back, or check my blog/whatever.