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UK Manufacturing PMI

Discussion in 'Economic Indicator Descriptions' started by Felix Homogratus, Nov 2, 2009.

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  1. Felix Homogratus

    Felix Homogratus Commander in Chief

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    UK Manufacturing PMI comes out at 04:30 am New York Time on the first working day of every month.

    PMI stands for Purchasing Managers Index. What they do is survey executives in manufacturing industry by asking them a series of questions about their expectations for production, new orders, deliveries, employment, and inventories, such as are you planning to fire, hire, or stay unchanged on new workers in the near future? Then they average out all the answers, and they get a number anywhere between 1 and 100.

    A number of 50 means that on average, the manufacturing industry in the UK did not improve over previously measured month. A number above 50 means that the manufacturing industry expanded over previously measured month. A number below 50 means that the manufacturing industry contracted over previously measured month.

    A better than expected number is usually good for Great British Pound, so GBP/USD tends to go up. A worse than expected number is usually bad for Great British Pound, so GBP/USD tends to go down. To read more about this report, please visit The Chartered Institute of Purchasing & Supply - The Chartered Institute of Purchasing & Supply, which is the organization that gathers and analyzes the data and releases the number.

    If you want me to email you 1 day before this report is released, and explain to you in details on how to trade it, then please sign up for my free trading signals by going to this link:
    Forex Daily Trading Signals - Forex Peace Army Forum

    In the signal, I tell you exactly how many pips the currency will most likely move, depending on the difference between expected and actual numbers.
     
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