The Purchasing Managers’ Index is a number that describes the economic health of the manufacturing and service sectors. PMI values range from 0 to 100. A value below 50 indicates a contraction, while above 50 indicates expansion. Taken over multiple periods, PMI can represent a trend for the two sectors.
PMI is released each month. It provides insights into the economic health of the surveyed countries. In addition to the manufacturing and services sectors, information about sub-indices such as GDP, inflation, exports, capacity utilization, employment and inventories can also be obtained. PMI is considered a leading economic indicator.