Definition
A monthly survey of factory purchasing managers, scored so that above 50 means manufacturing is generally growing and below 50 means it's shrinking.
The story
Purchasing managers are the people ordering the parts and materials, so they see changes early. If more of them say orders, output and hiring are up than down, the score lands above 50. It's a show of hands from the factory floor.
Why markets watch it
It's one of the first reads on the economy each month.
Connects to
ISM Services PMIIndustrial productionRegional Fed surveysS&P Global PMI
Last seen in
We explain why it moves markets. What you do with it is your call. Commentary and education only. Not financial advice. All terms