Aussie Manufacturing Hits the Doldrums

Relatively immune until recently, Australia has joined the international pity party as manufacturing sinks to the lowest level in three years

A gauge of Australian manufacturing declined last month to the lowest level in three years as the dollar strengthened, aligning the industry's contraction with others in the US, Asia and the euro area.

The manufacturing index slumped 6.9 points 40.3, the weakest reading since June 2009 and fifth drop in six months, the Australian Industry Group and PricewaterhouseCoopers said in a survey released today. A reading below 50 indicates a contraction.