PPI turned positive for the first time month-on-month this year business agency BCI predicts that the economy may pick up

Original title: Manufacturing PPI turned positive for the first time month-on-month this year, business agency BCI predicts that the economy may pick up

On September 9, data released by the National Bureau of Statistics showed that the industrial producer price index (PPI) fell by 3.0% year-on-year, 1.4 percentage points narrower than the previous month; it rose by 0.2% month-on-month, turning positive for the first time this year.

According to the monitoring of Business News, the BCI in August was 0.54, which has been significantly red for two consecutive months, reflecting the expansion of the manufacturing economy.

According to the SunSirs Commodity Price Index BPI, since 2023/7/2, the 7-day moving average has crossed the 30-day moving average and started to rise. Trend, the current two moving averages continue to rise in the same direction, indicating that BPI has entered an upward channel, which also reflects that the macro economy will rise.

It is understood that the Business Society BCI (Bulk Commodity Index), as a leading indicator of the manufacturing industry, has been So far, it has successfully predicted macroeconomic trends many times in a row. As an important part of Businessbao’s data strategy, BCI aims to help governments, institutions, and enterprises make better decisions. The index monitors the prices of 100 major basic raw materials, compares the prices at the beginning and end of the month, counts the number of monthly rising varieties and the number of falling varieties, and then divides the number of rising varieties from the number of falling varieties by the total to get a ratio. Reflects the prosperity of the manufacturing economy.

According to Business News, the theoretical basis of BCI (Bulk Commodity Index) is:

1. Supply and demand affect prices, and price changes reflect changes in supply and demand.

2. The relationship between supply and demand affects economic operations, so monitoring changes in supply and demand can reflect economic operations.

3. Commodities are the most upstream of the national economy, so monitoring the supply and demand relationship of commodities is particularly important.