ISM Manufacturing Index

The ISM manufacturing index, also known as the purchasing managers' index (PMI), is a monthly indicator of U.S. economic activity based on a survey of purchasing managers at more than 300 manufacturing firms. It is considered to be a key indicator of the state of the U.S. economy.

Formally called the Manufacturing ISM Report on Business, the survey is conducted by the Institute for Supply Management (ISM).

The ISM manufacturing index or purchasing managers' index is considered a key indicator of the state of the U.S. economy.

It indicates the level of demand for products by measuring the amount of ordering activity at the nation's factories.

The PMI number, which is announced on the first business day of each month, can greatly influence investor and business confidence.