Solid end to services year – PSI

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24 Jan 2017

58.4

December

+0.3

Monthly Change

expanding

faster rate

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Kirk Hope

Chief Executive, BusinessNZ

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BNZ Senior Economist Doug Steel said that "to insert". New Zealand's services sector experienced further expansion during December to round out a solid year of activity, according to the BNZ - BusinessNZ Performance of Services Index (PSI).

The PSI for December was 58.4. This was 0.3 points up from November, and the highest result for 2016 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining).

BusinessNZ chief executive Kirk Hope said that 2016 ended off on a high note, with both production/sales (63.5) and new orders/business (60.9) remaining about the 60-point mark.

"The average activity result for 2016 was 56.6. While this was slightly down on the 57.8 recorded for 2015, it was still the third highest average yearly result since the survey began."

BNZ Senior Economist Craig Ebert said that "unlike its PMI cousin, the PSI's new orders/business index remained clearly above normal.  This heralds sustained strong expansion in sales activity, which was already pumping in December ".

View the PSI Time Series Data


Main Indicies

Regional Results

Services Landscape
View Craig Ebert's profile

Craig Ebert

Senior Economist, BNZ

The PSI

New Zealand's Performance of Services Index (PSI) maintained a perky pace in December, with an index reading of 58.4.
Read more

QSBO Services

That the services sector continues to barrel along rather well was also in evident in last week's Quarterly Survey of Business Opinion (QSBO).
Read more

Retail

One of the question marks we have around the services sector is the performance of the retail sector.  We say this with December's electronic card transactions having failed to bounce back from their November dip, capping our expectations around Q4 retail volume growth.
Read more

Employment

One of the factors supporting consumer spending, of course, is the labour market.  Today's PSI still has good news re the latter.
Read more

View the BNZ Services Landscape

PSI Time Series Table

The results are seasonally adjusted.

National Indicies Dec
2015
Aug
2016
Sep
2016
Oct
2016
Nov
2016
Dec
2016
BNZ - BusinessNZ PSI 58.158.154.556.758.158.4
Activity/Sales 61.661.857.859.264.363.5
Employment53.554.351.754.652.354.0
New Orders/Business63.160.456.257.761.960.9
Stocks/Inventories54.455.953.353.952.152.6
Supplier Deliveries54.156.352.254.956.256.8

View the PSI Time Series Data

BNZ - BusinessNZ PSI Time Series

January 2012 – December 2017

PSI Time Series Graph

International Results

J.P. Morgan Global Manufacturing PSITM
5 Jan 2017

53.3

International PSI

BNZ - BusinessNZ PCI

57.9

GDP-Weighted Index

56.5

Free-Weighted Index

The seasonally adjusted BNZ - BusinessNZ Performance of Composite Index or PCI (which combines the PMI and PSI) saw the two options for measuring the PCI both show slightly different movements from November to December.

The December GDP-Weighted Index (57.9) increased 0.4 points from November, while the Free-Weighted Index (56.5) remained unchanged.

PCI Time Series Table

The results are seasonally adjusted.

National Indicies Dec
2015
Aug
2016
Sep
2016
Oct
2016
Nov
2016
Dec
2016
GDP-Weighted Index 58.057.654.956.657.557.9
Free-Weighted Index57.656.755.855.856.556.5

View the PCI Time Series Data

BNZ - BusinessNZ PCI Time Series

January 2012 – 2017

PCI Time Series Graph