Spain EUR

Spain Markit Composite PMI

Info

History

Chart

Impact:

Low

Source: Markit Economics

Latest Release:

Date:

Surprise:

8.3

Actual:

56.5

Forecast: 48.2

Previous/Revision:

47.9

Period: Feb

What Does It Measure?

The Spain Markit Composite PMI measures the overall economic activity in the manufacturing and services sectors, providing a snapshot of business sentiment and economic health. It focuses on production, employment levels, new orders, and supplier deliveries, with a key indicator threshold of 50: readings above this point indicate expansion, while readings below suggest contraction; this is a national indicator specific to Spain.

Frequency

The report is released monthly, typically on the first business day of the following month, and includes both preliminary estimates and final figures, with traders often reacting more strongly to the preliminary results.

Why Do Traders Care?

Traders pay close attention to the Markit Composite PMI because it serves as an important barometer of economic health, impacting market sentiment and influencing financial assets such as the euro (EUR), equities, and bonds. Higher-than-expected readings typically signal robust economic activities that support a stronger currency and stock market, while weaker results can lead to bearish market reactions.

What Is It Derived From?

The PMI is derived from a monthly survey of purchasing managers across various sectors, which assesses their current business conditions based on factors such as new orders, production levels, and employment trends. It utilizes a diffusion index methodology, where each component is weighted to present a consolidated score that reflects overall economic performance.

Description

Preliminary reports provide early insights into economic conditions based on initial survey responses, while final reports are refined and issued later with more comprehensive data. The PMI is reported on a month-over-month basis, allowing traders and analysts to identify short-term trends in economic activity and make informed financial decisions based on the most current data.

Additional Notes

The Markit Composite PMI is considered a leading economic indicator that often forecasts future economic activity and investor sentiment. It is also compared with other indices, such as the Manufacturing PMI and Services PMI, to gain a fuller understanding of the economic landscape in Spain and its potential impact on broader regional and global markets.

Bullish or Bearish for Currency and Stocks

Higher than expected: Bullish for EUR, Bullish for Stocks. Lower than expected: Bearish for EUR, Bearish for Stocks.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number	Better than forecast for the currency (or previous revise better)
Red Number	Worse than forecast for the currency (or previous revise better)
Hawkish	Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish	Favors lower rates to boost growth, weakening the currency but lifting stocks.

Date	Actual	Forecast	Previous	Surprise
Mar 03, 2022	56.5	48.2	47.9	8.3
Feb 03, 2022	47.9	55	55.4	-7.1
Jan 05, 2022	55.4	56.8	58.3	-1.4
Dec 03, 2021	58.3	57.9	56.2	0.4
Nov 04, 2021	56.2	55	57	1.2
Oct 05, 2021	57	59.1	60.6	-2.1
Sep 03, 2021	60.6	60.8	61.2	-0.2
Aug 04, 2021	61.2	61.5	62.4	-0.3
Jul 05, 2021	62.4	60.4	59.2	2
Jun 03, 2021	59.2	54.7	55.2	4.5