Key economic indicators
Global investors should monitor economic indicators to understand the condition of the global economy (ACWI) (VTI). Indicators are important because they shed light on a country’s economic health and help investors identify short-term economic trends and changes in market sentiment.
Important global indicators released last week include the following:
- US manufacturing PMI (purchasing managers’ index)
- France (EWQ) manufacturing PMI
- Germany (EWG) (DAX-INDEX) manufacturing PMI
- Eurozone (N100-INDEX) manufacturing PMI
- China (MCHI) (FXI) manufacturing PMI
- Japan (EWJ) manufacturing PMI
- Canada (EWC) manufacturing PMI
- India (INDA) manufacturing PMI
- Euro area GDP growth rate
- US (QQQ) (SPXL) non-farm payroll
- US (SPX-INDEX) ADP employment change
- US consumer confidence
- FOMC statement
Importance of manufacturing PMI
In this series, we’ll take a look at the global (VT) (ACWI) manufacturing PMIs for January 2017. The manufacturing PMIs are important indicators, as they show the business condition of an economy.
Monthly manufacturing PMI reports show manufacturing activity, output, new orders, export orders, and employment numbers. They help us to assess growth and trends in world manufacturing activity. Many policymakers use the manufacturing PMI reports to make important policy decisions that could affect the economy at large. In this series, we’ll also look at the US jobs report for January 2017.
In the next part of this series, we’ll analyze US manufacturing PMI for January 2017.