The ISM manufacturing index is one of the most important data for understanding the trend of the sector and is developed by the Institute for Supply Management. The data in question is extrapolated by administering questionnaires to hundreds of company purchasing managers, chosen from over 20 production sectors.
From this data, 10 indices are then processed, the most important of which is the PMI, which analyzes in detail the trend of production in the manufacturing sector.
However, the ISM index has been operational since 1931 and was created precisely to deal with the heavy repercussions that the economic crisis was having on some sectors of the American economy.
The American president Hoover turned to the institute we mentioned above to ensure that reports were produced every month that precisely defined the situation.
Every month since then (except for the years of the Second World War) these reports are produced, which have a great impact on the trend of the currency.
