South Korea's manufacturing PMI showed renewed expansion in the sector in November after two consecutive months of contraction, with the survey's headline index picking up to 50.6 from a 13-month low of 48.3 in October. Respondents reported improvement in current conditions but tighter margins and remain wary about the outlook.

Survey respondents reported increases in output, new orders and new export orders in November after declines in October. Respondents also reported the second reduction in payrolls in the last three months and expect below-average output growth over the next 12 months. The survey shows a bigger increase in input costs in more than a year but a third consecutive decline in selling prices.

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.

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.