What is this news
PMI (Purchasing Managers Index) is a monthly survey of company purchase managers: orders, production, jobs, prices. Released by S&P Global. This comes every month.
How important it is
This is the earliest signal at the start of the month showing which way the economy is heading. Above 50 = growth, below 50 = contraction. This is a High impact event on FxGram: EUR pairs often see sharp moves at this time.
What this data does
Generally, if PMI comes in above forecast (especially above 50), it is seen as a sign of economic strength; if lower, it signals weakness.
This is just general knowledge (textbook), not a prediction for this release. The market may react differently. This is not buy-sell advice.