Euro Area EUR

Euro Area Markit Composite PMI Final

Info

History

Chart

Impact:

Low

Source: Markit Economics

Latest Release:

Date:

Surprise:

-0.3

Actual:

55.5

Forecast: 55.8

Previous/Revision:

52.3

Period: Feb

What Does It Measure?

The Euro Area Markit Composite PMI Final measures the overall economic health of the Eurozone by assessing business activity across both the manufacturing and services sectors. This indicator specifically focuses on production, employment, and input costs, providing insights into future economic performance with values above 50 indicating expansion and below 50 indicating contraction.

Frequency

The Markit Composite PMI is released monthly, with final figures typically published on the first business day of the following month, reflecting comprehensive data from preliminary estimates collected earlier in the month.

Why Do Traders Care?

Traders monitor the Markit Composite PMI because it serves as a key gauge of economic performance within the Eurozone, directly influencing decisions in currency markets, equities, and other financial instruments. Stronger-than-expected readings can bolster the euro and equities while weaker results may prompt declines in these assets, making it a crucial tool for economic forecasts and market strategies.

What Is It Derived From?

The Markit Composite PMI is derived from a combination of surveys conducted among purchasing managers in different sectors, specifically covering manufacturing and services. The index is calculated based on a diffusion index methodology, which aggregates responses with a weighting system that reflects the significance of each sector, ensuring an accurate representation of overall economic conditions.

Description

The Euro Area Markit Composite PMI is a crucial economic indicator that highlights trends in business sentiment and activity across key sectors within the Eurozone. It provides essential insights into the pace of economic expansion or contraction, often serving as a precursor to changes in employment, investment, and overall economic growth. Preliminary reports offer initial insights, while final reports refine the data based on comprehensive revisions.

Additional Notes

This composite PMI serves as a coincident indicator, reflecting a current snapshot of economic conditions within the Eurozone, and is often compared with other indicators such as GDP growth rates and individual sector PMIs. Additionally, it plays a vital role in assessing the health of the Eurozone economy in relation to global economic trends, affecting its competitiveness and interactions with other regions.

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. A dovish tone: Signaling lower interest rates or economic support is usually good for the Euro but bad for Stocks due to cheaper borrowing costs.

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	55.5	55.8	52.3	-0.3
Feb 03, 2022	52.3	52.4	53.3	-0.1
Jan 05, 2022	53.3	53.4	55.4	-0.1
Dec 03, 2021	55.4	55.8	54.2	-0.4
Nov 04, 2021	54.2	54.3	56.2	-0.1
Oct 05, 2021	56.2	56.1	59	0.1
Sep 03, 2021	59	59.5	60.2	-0.5
Aug 04, 2021	60.2	60.6	59.5	-0.4
Jul 05, 2021	59.5	59.2	57.1	0.3
Jun 03, 2021	57.1	56.9	53.8	0.2
May 05, 2021	53.8	53.7	53.2	0.1
Apr 07, 2021	53.2	52.5	48.8	0.7
Mar 03, 2021	48.8	48.1	47.8	0.7
Feb 03, 2021	47.8	47.5	49.1	0.3
Jan 06, 2021	49.1	49.8	45.3	-0.7
Dec 03, 2020	45.3	45.1	50	0.2
Nov 04, 2020	50	49.4	50.4	0.6
Oct 05, 2020	50.4	50.1	51.9	0.3
Sep 03, 2020	51.9	51.6	54.9	0.3
Aug 05, 2020	54.9	54.8	48.5	0.1
Jul 03, 2020	48.5	47.5	31.9	1
Jun 03, 2020	31.9	30.5	13.6	1.4
May 06, 2020	13.6	13.5	29.7	0.1
Apr 03, 2020	29.7	31.4	51.6	-1.7
Mar 04, 2020	51.6	51.6	51.3
Feb 05, 2020	51.3	50.9	50.9	0.4
Jan 06, 2020	50.9	50.6	50.6	0.3
Dec 04, 2019	50.6	50.3	50.6	0.3
Nov 06, 2019	50.6	50.2	50.1	0.4
Oct 03, 2019	50.1	50.4	51.9	-0.3
Sep 04, 2019	51.9	51.8	51.5	0.1
Aug 05, 2019	51.5	51.5	52.2
Jul 03, 2019	52.2	52.1	51.8	0.1
Jun 05, 2019	51.8	51.6	51.5	0.2
May 06, 2019	51.5	51.3	51.6	0.2
Apr 03, 2019	51.6	51.3	51.9	0.3
Mar 05, 2019	51.9	51.4	51	0.5
Feb 05, 2019	51	50.7	51.1	0.3
Jan 04, 2019	51.1	51.3	52.7	-0.2
Dec 05, 2018	52.7	52.4	53.1	0.3
Nov 06, 2018	53.1	52.7	54.1	0.4
Oct 03, 2018	54.1	54.2	54.5	-0.1
Sep 05, 2018	54.5	54.4	54.3	0.1
Aug 03, 2018	54.3	54.3	54.9
Jul 04, 2018	54.9	52.1	54.1	2.8
Jun 05, 2018	54.1	54.1	55.1
May 04, 2018	55.1	55.2	55.2	-0.1
Apr 05, 2018	55.2	55.3	57.1	-0.1
Mar 05, 2018	57.1	57.5	58.8	-0.4
Feb 05, 2018	58.8	58.6	58.1	0.2
Jan 04, 2018	58.1	58	57.5	0.1
Dec 05, 2017	57.5	57.5	56
Nov 06, 2017	56	55.9	56.7	0.1
Oct 04, 2017	56.7	56.7	55.7
Sep 05, 2017	55.7	55.8	55.7	-0.1
Aug 03, 2017	55.7	55.8	56.3	-0.1
Jul 05, 2017	56.3	55.7	56.8	0.6
Jun 05, 2017	56.8	56.8	56.8
May 04, 2017	56.8	56.7	56.4	0.1
Apr 05, 2017	56.4	56.7	56	-0.3
Mar 03, 2017	56	56	54.4
Feb 03, 2017	54.4	54.3	54.4	0.1
Jan 04, 2017	54.4	53.9	53.9	0.5
Dec 05, 2016	53.9	54.1	53.3	-0.2
Nov 04, 2016	53.3	53.7	52.6	-0.4
Oct 05, 2016	52.6	52.6	52.9
Sep 05, 2016	52.9	53.3	53.2	-0.4
Aug 03, 2016	53.2	52.9	53.1	0.3
Jul 05, 2016	53.1	52.8	53.1	0.3
Jun 03, 2016	53.1	52.9	53	0.2
May 04, 2016	53	53	53.1
Apr 05, 2016	53.1	53.7	53	-0.6
Mar 03, 2016	53	52.7	53.6	0.3
Feb 03, 2016	53.6	53.5	54.3	0.1
Jan 06, 2016	54.3	54	54.2	0.3
Dec 03, 2015	54.2	54.4	53.9	-0.2
Nov 04, 2015	53.9	54	53.6	-0.1
Oct 05, 2015	53.6	53.9	54.3	-0.3
Sep 03, 2015	54.3	54.1	53.9	0.2
Aug 05, 2015	53.9	53.7	54.2	0.2
Jul 03, 2015	54.2	54.1	53.6	0.1
Jun 03, 2015	53.6	53.4	53.9	0.2
May 06, 2015	53.9	53.5	54	0.4