PMI stands for Purchasing Managers' Index, which is an economic indicator that measures the economic health of the manufacturing sector in a particular country or region. The PMI is based on a survey of purchasing managers in the manufacturing sector, who are asked about various indicators such as new orders, production, employment, and prices. A PMI score above 50 indicates expansion in the manufacturing sector, while a score below 50 indicates contraction. The PMI is closely watched by economists, investors, and policymakers as it provides valuable information about the direction of the economy and the potential for inflation or deflation.
