The Bank Hapoalim and the Israeli Purchasing and Logistics Managers Association’s Purchasing Managers Index (PMI) inched down by 1.8 points to50.7 , which reflects expansion in manufacturing activity.
Increases were recorded last month in the production, domestic new orders and employment components, and their level now shows expansion in activity. New orders for exports decreased and their level is below 50 for the eleventh month in a row. The Global Purchasing Managers Index published by JPMorgan decreased in December to a level of 50.9 points.
This index has been in a downside trend, but its level still indicates of activity expansion. The PMI in the USA was down to a level of 48.2 points. In the Eurozone, the PMI increased to 53.2 points. The Chinese PMI continued to show contraction, with a level of 48.2 points.
Bank Hapoalim cooperates with the Israeli Purchasing and Logistics Managers Association in the publication of data on the purchasing managers' index in Israel. Purchasing managers' indices are leading indices that can forecast changes in growth trends; these indices draw extensive global coverage and affect financial markets. Indices include the American ISM index, the European PMI index, and the global index published by JPMorgan Chase Bank.
The index is calculated based on the responses to six questions provided by purchasing managers at leading industrial companies in the Israeli economy. The methodology for computing the index is consistent with the prevalent methodology worldwide for the calculation of purchasing managers' indices. The Israeli index is included in the calculations of the European and global purchasing managers' indices.