The Jibun Bank reported on Thursday that its latest survey indicated that Japan’s manufacturing sector moved another step closer to stabilization in September. The headline au Jibun Bank Japan Manufacturing Purchasing Managers’ Index (PMI) rose to 47.7 in September from 47.2 in August. This was the highest since February, albeit still below the neutral 50.0 value.

Economists had forecast the index to edge up to 47.3.

According to the report, production dropped at the weakest pace in seven months, while new orders fell to the least marked extent since January and new export sales declined at the slowest pace for eight months. At the same time, employment remained relatively stable across the manufacturing sector, with this index only fractionally below the 50.0 no-change threshold.