Services PMI rose to 62.2 in November: New yearly high
• The purchasing managers’ index for the service sector (Services PMI) rose by 5.8 points in November to 62.2 after having fallen four months in a row. It is too early, however, to determine whether conditions for service companies are going to strengthen. The coming months will be critical to see where the economy is headed.
• New orders and business volumes were the biggest contributors to the increase in the Services PMI at 3.7 and 2.2 points, respectively. Both indexes reached yearly highs with new orders standing out and reaching the highest level since November 2010. Employment was the only sub-index that fell in November.
• Service companies’ business volume plans continue to indicate expansion and widespread economic optimism. In November the index rose to 69.4 from 67.4 in October and is the fourth highest reading in 2018.
• The index for prices of suppliers’ intermediate goods rose for the second consecutive month to 62.3 in November from 62.1 in October.
The Purchasing Managers’ Index (PMI) is a business cycle indicator for the Swedish economy produced by Swedbank in cooperation with Silf. The PMI is produced for both the manufacturing and service sectors. The aim of the PMI is to get a quick measure of the current state of the economy. Each month purchasing managers are surveyed and an index calculated. An index level above 50 indicates expansion, while a level below 50 signals a contraction. The PMI for the manufacturing sector is published on the first banking day of each month at 8:30 am (CET), while the corresponding index for the service sector is published on the third banking day of each month at 8:30 am (CET).
Next publication of Purchasing Managers’ Index – Services: Friday, 4 January 2019
Jörgen Kennemar, Swedbank Public Affairs, Phone +4670 – 643 83 29, email@example.com
Anna Sjöblom, Silf, Phone +4673 – 518 70 11, firstname.lastname@example.org