| Actual | Previous | |
|---|---|---|
| Index | 48.8 | 47.7 |
Highlights
Taiwan's manufacturing PMI shows the sector contracted for the ninth consecutive month in November but at a less pronounced rate, with its headline index increasing from 47.7 in October to 48.8. Respondents reported tentative signs of a moderation in the impact global trade tensions are having on conditions and sentiment.
Survey respondents reported smaller falls in output and new orders in November, while new export orders also fell at to the least extent in eight months. The survey showed a small increase in payrolls after fourteen consecutive months of falls, while its measure of business confidence showed respondents, for the first time since March, now expect output to increase over the next twelve months. Respondents reported the biggest increase in input costs and selling prices so far this year.
Survey respondents reported smaller falls in output and new orders in November, while new export orders also fell at to the least extent in eight months. The survey showed a small increase in payrolls after fourteen consecutive months of falls, while its measure of business confidence showed respondents, for the first time since March, now expect output to increase over the next twelve months. Respondents reported the biggest increase in input costs and selling prices so far this year.
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.
