Global banking company HSBC has today announced that it is launching a Flash Purchasing Managers’ Index to give the earliest indicator of the health of the manufacturing industry in China.
The company, working with researchers Markit, will release its data based on 85-90 per cent of the full PMI data a week earlier than the regular release. It says this will be the earliest indicator of economics conditions in the country.
Flash PMI data is already used in France, Germany and the Eurozone.
Stephen King, HSBC’s chief economist, said: “China remains at the forefront of the global economy thanks in part to the accelerated growth in its manufacturing sector. Purchasing Managers’ Indices are closely-observed barometers for market sentiment and we expect the HSBC Flash China Manufacturing PMI to become a leading indicator of economic conditions in China.”
The Chinese PMI is based on responses to questionnaires sent to purchasing executives in over 400 manufacturing companies. PMI data typically comprises information on new orders, output, employment, stock levels and delivery times.
The first Flash China PMI from HSBC will be released on Monday (February 21).