WIXLIB

PMIThe world’s leading economic indicator

The Purchasing Managers’Index (PMI ) is basedon monthly surveysof carefully selectedcompanies representingmajor and developingeconomies worldwide.TMTMK E Y S TAT S26,000 companies surveyed monthly4,000 economic indicators

The PMI provides an advancesignal of what is really happeningin private sector economies,by tracking variables suchas output, new orders,employment and prices.One of the most recognizedeconomic indicators in theworld, the PMI is widely usedby governments, centralbanks, financial institutions,investors and corporates.Why is the PMI data better than other sources?——Often the first economic data released each month——Internationally comparable across geographiesand industries——Proven methodology——Not subject to revision\3

Proven methodologyand reliable resultsThe PMI is released monthly for developedand emerging economies worldwide.The numbers provide insight into economic conditionsacross the manufacturing and service sectors, withnational PMI readings for the respective sectors basedon responses from panels of senior purchasing executives(or similar) at more than 400 companies for each survey.K E Y S TAT S40 countries covered86%global GDP

Each survey panel is carefully formed toaccurately represent the true structure ofthat country and sector.Respondents are asked to state whetherbusiness conditions across a number ofvariables have improved, deteriorated or stayedthe same compared with the previous month.Reasons for any changes are also collected,providing additional insight into trends.PMI global coverage\5

The only comprehensive sourceof sector economic dataBecause the surveys are based on fact, not opinion,they produce highly reliable economic indicators.PMI subscribers benefit from many years (in some cases more than 20 years)of historical manufacturing, services and construction data.The “headline index”Detailed dataThe monthly index readings provide a valuablesnapshot of economic performance andgrowth (GDP) over a given month and areamong the most heavily-traded and closelywatched indicators in the world.A considerable breadth of sub-index datacovers variables such as new orders, exports,prices, inventories, employment and supplierdelivery times.The PMI can also accurately predict economicgrowth or contraction in advance of official data,as shown in this example, where the Eurozone PMIpredicted the severity of the global financial crisis:21 November 2008: Flash Eurozone PMI forNovember signals unprecedented downturnMarkit Eurozone PMIEurozone GDP, q/q%These detailed data sets are used by governments,financial institutions and corporates for forecasting,analysis and planning, helping to monitor keyeconomic variables:——Headline PMI data as a guide to GDP——Manufacturing output / servicesector output651.5——CPI/inflation indicators550.5——Producer input prices-0.5——Exports and trade flow indices-1.5——Employment/non-farm payrolls4535GDP fitability13 February 2009: First estimate of EurozoneGDP for Q4 2008 becomes availableMarkit Eurozone PMI——Factory/durable goods ordersEurozone GDP, q/q%651.5550.545-0.535GDP PMI19992001\ 6 ihsmarkit.com-1.5200320052007——Backlogs of works/capacity indicators——Supplier delivery times——Inventory indicators——Purchasing activity

PMI data comprise two distinct data sets –the monthly “headline” data, as well as thedetailed sub-index data.The data are collected using anidentical methodology in all countriesand sectors, so that internationalcomparisons can easily be madebetween, for example, growth ratesin China, the United States, UnitedKingdom and India. Industry and sectorcomparisons can also be made.In addition to providing nationalmacroeconomic indicators, PMI dataare also available for detailed sectorsof the economy, allowing specificindustry trends to be monitored ona global (and regional) basis.The whole breadth of PMI data,including sub-indices, are availablefor up to 26 sectors on a global,EU, Asian and US basis.Global PMI sectors ranked by average monthly outputindex in AGES & FOODFOODBANKSTECHNOLOGY EQUIPMENTREAL ESTATESOFTWARE & SERVICESPHARMACEUTICALS & BIOTECH.GENERAL INDUSTRIALSCONSTRUCTION MATERIALSAUTOMOBILES & PARTSOTHER FINANCIALSHEALTHCARE SERVICESINSURANCEINDUSTRIAL SERVICESCOMMERCIAL & PROF. SERVICESINDUSTRIAL GOODSH’HOLD & PERSONAL PRODUCTSMEDIAMACHINERY & EQUIPMENTPAPER & FOREST PRODUCTSCHEMICALSTOURISM & RECREATIONTRANSPORTATIONBASICS MATERIAL RESOURCESMETALS & MININGOutput of global autos sector comparedwith all-industries outputPMI-derived indicator of operating marginsMarkit PMI Output IndexPMI margin indicator63(index of selling price inflation minus index of input cost inflation)5905Automobiles & Auto PartsGlobal all-sectors-555-1051Jan 10Jan 12Jan 14Jan 1647Automobiles & partsGlobal manufacturingJan 10Jan 12Jan 14Jan 16-15-20\7

Unique economic insight forbetter planning and analysisAsset management firmsBy tracking relative national and sectorgrowth, productivity, profit margin andprice trends, PMI data are used in assetallocation models and strategies, and inportfolio performance analysis.Equity and fixed income desksNational PMI data are indicative of changingmacroeconomic conditions, with detailed sectordata providing further guidance for equity andbond price trends, earnings analysis, dividendforecasting and default probability.Commodity and FX desksWith advance signals of interest rate, economicgrowth and inflation trends, as well as commoditysupply and demand patterns and resulting pricechanges, foreign exchange and commodity tradersare able to seek out new opportunities.\ 8 ihsmarkit.com

Delivered directly from IHS Markit or through distribution partners,the PMI data are used as a critical input to everything from supply chain analysisto forecasting interest rate trends to developing stock market classificationbased investment models.Our customers include the world’s leading banks, buy sides, corporatesand government institutions.Corporate business plannersFinancial planners and strategists benefit froma better understanding of how the economicenvironment is changing by country andsector, and what this means for key markets,industries and competitors, as well as their owncompany’s performance.Supply chain managersThe PMI is an essential tool for benchmarkingand forecasting sales, inventory and pricetrends, monitoring supply and demand, andtracking supplier performance.Central banksPMI data provide the most up to dateassessment of current economic conditions,are highly correlated with central bank policydecisions and have frequently been instrumentalin changes to monetary policy.\9

Corporate case studyChemical industryA global chemical manufacturer’s team of analystsneeded the most up-to-date data on economicconditions to better understand and plan for potentialadverse effects on supply, demand and revenue growth.

SolutionIHS Markit provided a custom PMIdataset, which supported analysisof the firms’ key geographic marketsand industry sectors.The data helped the global team of analysts identify major economicdevelopments that had the potential to affect demand for their products.ResultsBy performing a cross-countryanalysis, as well as measuring relativeperformance between sectors, theanalysts were better able to anticipatea change in demand in advance.With insights gained using the PMI, the firm was able to anticipaterisks and put a strategy in place to mitigate those risks.This resulted in more accurate forecasts and less disruption tomanufacturing plans.\ 11

About IHS MarkitIHS Markit (Nasdaq: INFO) is a world leader incritical information, analytics and solutions for themajor industries and markets that drive economiesworldwide. The company delivers next-generationinformation, analytics and solutions to customers inbusiness, finance and government, improving theiroperational efficiency and providing deep insights thatlead to well-informed, confident decisions. IHS Markithas more than 50,000 key business and governmentcustomers, including 85 percent of the Fortune Global500 and the world’s leading financial institutions.Headquartered in London, IHS Markit is committed tosustainable, profitable growth.CUSTOMER CARE AMERICASt 1 212 931 4900CUSTOMER CARE EUROPE, MIDDLE EAST, AFRICAt 44 20 7260 2000CUSTOMER CARE ASIA PACIFICt 65 6922 4200e sales@markit.comThe information contained in this document is confidential. Any unauthorised use,disclosure, reproduction or dissemination, in full or in part, in any media or by anymeans, without the prior written permission of IHS Markit is strictly prohibited.ihsmarkit.comPurchasing Managers’ Index and PMI are either registered trade marks of MarkitEconomics Limited or licensed to Markit Economics Limited.164844124-VL-0717

Automobiles & Auto Parts Global all-sectors 47 51 . The company delivers next-generation information, analytics and solutions to customers in business, finance and government, improving their operational e iciency and providing deep insights that lead to well-informed, confident decisions. IHS Markit has more than 50,000 key business and .