| Actual | Previous | |
|---|---|---|
| Index | 49.4 | 49.8 |
Highlights
The S&P Global South Korea manufacturing PMI shows a second consecutive contraction in the sector in April after expansion in the first two months of the year, with the survey's headline index falling to 49.4 from 49.8 in March. Despite this current weakness, conditions still remain better than they were in mid-2023 and respondents have become more positive about the outlook over the next twelve months.
Survey respondents reported a small increase in output, new orders and new export orders in March but the first fall in employment since last year. Respondents have also revised up their expectations for output growth over the next twelve months, with the survey's measure of business confidence at its highest level in nearly two years. The survey shows a bigger increase in both input costs and selling prices in April.
Survey respondents reported a small increase in output, new orders and new export orders in March but the first fall in employment since last year. Respondents have also revised up their expectations for output growth over the next twelve months, with the survey's measure of business confidence at its highest level in nearly two years. The survey shows a bigger increase in both input costs and selling prices in April.
Definition
The Purchasing Managers' Manufacturing Index (PMI) is based on monthly questionnaire surveys of selected companies which provide an advance indication of what is really happening in the private sector economy by tracking changes in variables such as output, new orders, stock levels, employment and prices across the manufacturing sectors.
Description
Investors need to keep their fingers on the pulse of the economy because it dictates how various types of investments will perform. By tracking economic data such as the purchasing managers' manufacturing indexes, investors will know what the economic backdrop is for the various markets. The stock market likes to see healthy economic growth because that translates to higher corporate profits. The bond market prefers less rapid growth and is extremely sensitive to whether the economy is growing too quickly and causing potential inflationary pressures.
The Markit PMI manufacturing data give a detailed look at the manufacturing sector, how busy it is and where things are headed. Since the manufacturing sector is a major source of cyclical variability in the economy, this report has a big influence on the markets. And its sub-indexes provide a picture of orders, output, employment and prices.
The Markit PMI manufacturing data give a detailed look at the manufacturing sector, how busy it is and where things are headed. Since the manufacturing sector is a major source of cyclical variability in the economy, this report has a big influence on the markets. And its sub-indexes provide a picture of orders, output, employment and prices.
