NAPM Index

NAPM Index

A monthly survey of 250 companies in 21 sectors measuring growth or decline in deliveries, inventories, jobs, order and production. The information is aggregated and disseminated as a numerical value between one and 100. A value above 50 indicates growth in manufacturing, while a value below 50 indicates the opposite.
References in periodicals archive ?
Note that the NAPM index, factory orders, nonfarm payrolls, Consumer Price Index (CPI), retail sales, industrial production, consumer confidence, durable goods orders, and FOMC announcements have significant coefficients for most maturities.
Nor is there any direct correlation between concurrent observations of Ohio's unemployment rate and the NAPM index for this period.
A particularly promising result from the survey was the new-orders component of the NAPM index, which rose sharply to 53.
For the fourth consecutive month, the NAPM index stayed below 50 at 47.
Dealers said the weak NAPM index made the market slightly pessimistic about the U.
The NAPM index for last month is just below the 56.
The NAPM index for Backlog of Orders was not included because it has not been in existence through an entire business cycle.
Each indicator is measured by its market significance: very high (employment and GDP); high (CPI, NAPM index, producer price index, and retail sales); moderate to high (durable goods new orders and housing starts), moderate (motor vehicle sales, consumer confidence, employment cost index, home sales, industrial production, international trade, personal income and expenditures, productivity and costs, and unemployment insurance claims); and low (business inventories, construction expenditures, consumer credit, the cyclical indicators, the federal budget, and manufacturers' new orders, sales and inventories).
Table 6 Correlations of Survey Indexes with Changes in National Aggregate Data Richmond Fed NAPM Index Survey Survey Employment 0.
The NAPM index measures the percentage of manufacturing firms reporting higher material prices, plus half the percentage of those firms reporting no change in prices.
A slight increase in the unemployment rate and a slightly weaker NAPM index (National Association of Purchasing Managers) caused the bond market to dramatically revise its expectations for a Federal Reserve increase in short-term rates, from 50 basis points to only 25 basis points by year-end.
Bank of America economist Pete Kretzmer said the rise in the NAPM index adds an element of uncertainty about Tuesday's meeting, though he said the odds of a rate hike Tuesday remain below 50 percent.